20
Jan
verizon-logo-12

T-Mobile seems to be making waves in the industry as of late. Not even two weeks after the magenta carrier announced it would be paying customers' ETFs, Verizon is experimenting with a 30 day upgrade cycle on its Edge plan. However, it's not a free lunch – there is some fine print to contend with.

2014-01-19 22_52_23-Verizon Edge - Verizon Wireless

Verizon Edge is similar to all the early upgrade programs introduced in the last year like Jump (Tmo) and Next (AT&T). With Big Red's option, you simply finance the phone over 24 months and pay it off as you go. Previously, you had to wait a year before getting the free upgrade and starting the payments over. Now, you only have to wait 30 days. A new phone every 30 days? That sounds cool, but it's not at all what Verizon is offering.

In order to be eligible for the upgrade through Edge, you still must have at least 50% of the phone paid off – essentially a year of monthly payments. All Verizon has really done is allow people to pay off 50% of the phone as quickly as they want to get an upgrade. And yes, you still have to trade in the phone you just paid a few hundred dollars for. It's pretty unlikely anyone is going to pay $250-350 toward a financed phone in 30 days, then trade it in for a new one. The 30 day claim isn't really a lie (you could technically do it), but it's kind of a pointless change.

[Verizon, Cnet]

Ryan Whitwam
Ryan is a tech/science writer, skeptic, lover of all things electronic, and Android fan. In his spare time he reads golden-age sci-fi and sleeps, but rarely at the same time. His wife tolerates him as few would.

He's the author of a sci-fi novel called The Crooked City, which is available on Amazon and Google Play. http://goo.gl/WQIXBM

  • Thor

    And still there's a lot of people that are going to fall for it...

    • master94

      Yes but the good news is only 3% of VZW customers use Edge showing that not everyone is stupid.

      • Traci Lee Tolbert

        I bought a used galaxy months ago from an individual. It was a good phone for quite a while. Not bad at all for $100.00 used phone! Then, I paid 40.00 a month-(just for this phone's plan)-with Verizon. However, it was starting to need a new battery and lag a bit. It was time to get a new phone. I went into Verizon with no "2 year upgrade" available. I was dreading it. But I on the edge program. N I got my favorite-(I'm a galaxy lover)-a new galaxy s4 mini. I also got 199.00 CREDIT for my used 100 dollar phone (they didnt even ask how much I paid) ALSO, my bill WITH my new phone pmt (9.99 a month w trade in plus 25.00 a month off data bill) AND my monthly bill is ALL 25.00 a month INSTEAD of 40.00 a month! So, I got the phone I wanted and lowered my bill with the 199.00 trade in credit and the 25.00 off a month...every month. Oh...and no long contracts. Now, my whole fam is trading up to a new phone and getting a lower phone bill. They'd be stupid not to. Savy? Hey, I'm a hard sale. A 43 year old who has been burned before and I ask a lot of questions! Sometimes, not so nicely. This really is an amazing deal. I'm enjoying it. N have a few days to decide if this is my phone or if I wanna switch to another. I'm diggin this dainty, sweet mini :)

    • David Johnson

      yup, i did the math and fell for it, because contrary to the misinformed bs being spewed above, it IS a decent deal, and it saves me money. i now have 3 new edge phones that are truely free. dont forget the credit verizon gives each and every month for being on the edge program. for me it is $25 per month per phone since i buy 10gb data. less than 10gb is still $10 per phone per month. the phones cost me $20.83 each. i am saving money, period, end of story. by the time my phones are paid off, verizon will have again changed their plans and be the same as every other carrier. as a 25 year cellphone user, prices continue to drop. if the plan stays the same, i wont mind giving them back a phone that they actually paid me $100 for. do the math with ALL the facts people, not just half of them.

  • vinterchaos

    Trying to steal from the gullible and simple minded folk. Anyone who is willing to pay for 50% of a phone is and trade it in can likely outright just buy it off contract and skip the shenanigans all together. Big red is a shitty company, one of the reasons I prefer being with T-Mobile.

    • David Johnson

      hmmm, my edge phone is $20.83 per month. verizon gives me a $25 per month credit for being an edge customer buying 10gb data. looks to me like verizon is actually giving me a new phone, and $4.17 per month credit on top. how is this bad, please explain. i wont mind at all giving back my phone to get a new one in 2 years because they actually paid me $100 for it by crediting me monthly more than the cost of the phone.

  • trebills

    Exactly the kind of shit that made me (a customer of almost 15 years) move to T-Mobile.

    • Randroid

      And the kind of thing that's going to make me (a customer of only 4-5 years) leave them already.

      • Mario

        I'm with you guys. Been with Verizon before they were even Verizon. I'm looking forward to joining T-Mobile and love what they're doing to shake up the industry.

    • Jeff718

      12 Years here. F*ck Verizon.

  • mustbepbs

    This doesn't even make any sense. Why would someone do this? I actually did the "EDGE Early" thing for my Moto X, but that's because my old phone broke, it's the same retail cost everywhere, and I didn't have the funds to drop $400 right away. Worked out perfect for me, but using this plan sounds like an awful idea otherwise.

    • squiddy20

      "Why would someone do this?" Because the person that falls for this is probably stupid, gullible, more than likely can't do basic math, or has boatloads of money to throw around.

      • mustbepbs

        It just seems like throwing money away. Plain and simple.

  • WHO?

    But you can pay off any phone on any of the carriers new plans and trade in earlier then a yr as long as you have met the total yr payments. .

  • Steve B

    For this example we will assume that Bob has the Galaxy S4 which
    currently retails at Verizon for $599.99. Bob has decided that the
    Galaxy Note 3 ($699.99) better suits his needs because it has a bigger
    screen and a stylus. Bob decides to take advantage of Verizon's Edge
    program. In order to use the Verizon edge program Bob must have at least
    50% of his Galaxy S4 paid off ($299.99) before he can trade it in. Bob
    must also pay monthly installments on the Galaxy Note 3 for 24 months.
    So Bob will have paid $299.99 + $699.99 at the end of two years. Had Bob
    chosen to pay the $699.99 for the Note 3 and then sell his Galaxy S4
    through Craigslist or Ebay for $300, he would only have $399.99 into his
    new Galaxy Note 3. However, since Bob used Verizon's Edge program he
    now has paid $999.98 over two years which is a difference of $599.99. So
    what is the point? You might as well call it interest! How much
    interest is it? Well lets see... r=i/Pt

    r = 599.99/(699.99(2))
    r = 599.99/1399.98
    r = 44.85%

    So
    a 44.85% interest rate... If I told you that I would sell you a phone
    on payments for 44.85% interest, would you be eager to jump on it?

    • kindrudekid

      Can someone explain it to me like Dr. Cox from Scrubs?

    • Scott

      The flaw in your logic is that you did not consider the cost for Bob to acquire his Galaxy S4, which currently has a subsidized price of $199.00 or a retail of $599.00(which may come in to play for those at the end of a two year contract but don't want to renew). I'm by know means defending them, but it needs to be factored in.

      • Steve B

        Ah, but you forget... Should he pay full price for both phones and just give one to Verizon?

      • Steve B

        There is no way out of the contract without paying so that negates the phone being subsidized from the equation. Either way you are going to pay for that phone. That is the whole point of the contract.

    • Zerø Piazza

      Um, one thing you forgot to mention is that when you switch phones, you are trading it in. You mentioned this yet you didn't factor any trade in credit you'd receive into the equation. Since the phones you were using as examples are recent high end phones, Bob would receive like $200 store credit for his phone when he goes to get his new one. That makes a big difference in the amounts you claim he's paying.

      • Steve B

        I don't think you receive a credit with Edge... Also, even if you did, $200 is a high estimate. T-mobile only gives you $135 credit for the phone...

      • David Johnson

        and you forgot to mention the $10 / $25 credit per phone per month that verizon gives for being on the edge program. that credit for me is $75. my 3 phones cost only $62.49. yes, that is correct, the credit is MORE than the phones cost. i wont mind turning in phones that in reality verizon paid me $100 each for. if on the 2 year contract and you upgrade, you get to pay $199 to $299 for a current model. now THAT is a bad deal.

        • Pleezzzz

          I like my edge hehe

    • David Johnson

      are we forgetting the $10 or $25 monthly credit given by verizon depending on whether one buys 10gb or less data per month? for me at 10gb, the $25 monthly credit more than offsets the cost of my htc one at $20.83. the phone is not free, but more than free.

    • David Johnson

      um, half of the story being told. dont forget the $10 / $25 per month per phone credit verizon gives for being on edge

      • cadiman

        If you're on edge and ......that post was written three months ago... Long before they were forced to give $10-$25 discounts.

      • Pleezzzz

        I just post something like this my bill reflects this comment but when I upgrade will they still take 25 off,I could ask them but I'm in a good place with my bill right now don't want to go postal on them hehe.I've read up and it seems they will still take off the cash any thoughts.

  • Christopher Bement

    I was on Verizon for 8 years before switching to T-Mobile. The service is better/worse depending on where you go, but at least I don't feel like my asshole is bleading when I wake up in the morning not remembering the night before.

  • dontsh00tmesanta

    Wow what are they thinking

  • Ray Sunghwa Woo

    Verizon wants to charge you $40 per data plan and $25 installment plan as well? Is this what's happening? Not to mention the data is capped?

    Comparison with 3 smartphone prices.

    At Tmobile at 2.5 GB data plan you pay $10 per line and $25 installment fee for latest smartphone and you only need to pay $10 extra for Jump and you can switch after 6 month. So if you decide to do that that will cost you $225 per month. There is no extra charge than that. You simply trade in your old phone and get the new phone. After 2 years of payments, the total is $5400 and new phones in every 6 month if you want to.

    At Verizon at 6GB shared everything plan (even less data than 3*2.5GB), you pay $200 + phone installment fee which is extra $75. Total of $275 per month. But to use the upgrade you will have to pay 50% of the phone cost to be eligible. After 1 month, you want to change your phone, then you will pay extra $325 for 3 phones = $975. After 2 years, your total cost is $7575.
    The difference is $2175. With that money you can buy 3-4 new smartphones and keep them.
    Or let's even assume you wanna switch every 6 month as you can do at Tmobile. The total cost after 2 years will be $9525. And that's just stupid.

    If Verizon stop charging arms and legs for data plan, then this plan can work for some. But I don't think they will be ever going to do that.

    So on a positive note, putting the coverage aside, this might attract some customers to Tmobile who do math.

  • Selbowdaeskimo

    The problem with Verizon's edge program is that the monthly usage charges remain the same. There is no savings between a two year contract or edge. I wish I didn't live in the sticks of NC…

  • Matt

    I just switched from Verizon to T-Mobile a couple months ago, and I'm not looking back. T-Mobile's LTE is just as fast (if not faster) than Verizon's in the city I live in, and I'm saving $60/month with T-Mobile with two smartphone lines. The only places I've noticed a difference with T-Mobile's inferior network has been in between cities while driving (ie, it's Edge pretty much the entire stretch on I-71 between Cleveland and Columbus), but I can live with that since I don't travel that often. T-Mobile is well worth the investment for me.

  • HolyFreakingCrap

    Verizon being a scumbag company? Shocker.

  • Ali Mohamedali

    so this is where our payments go? so they can get paid to think of these ridiculous ideas? now i understand

  • http://batman-news.com DMZ6@live.com

    This comment is for those individuals that label people as either stupid or gullible, or can't simply do basic math....Instead of insulting people....give folks better ideas to get them out of specific scenarios where the Edge program wouldn't be the worst idea....
    Here is my scenario:
    I have a Galaxy S3 on Verizon that is still under contract for another month and a half. The top 1/3 of the screen has spider web cracks that have gotten wider and the bottom right has cracks also from the same incident. Also, ever since I updated it to 4.3, the phone resets itself and freezes constantly. I have a job that has me on the go a lot and I use for my phone for just about everything from watching videos, internet reading and as a GPS when I am in my work car. I need another device...plain and simple.
    I waited for the MWC to see what the new S5 was going to bring to the table. I also read up on what the new HTC One 2 (or whatever it will be ) will be like. With the S5 not likely to lunch until Mid April on Verizon and most likely May for the HTC, I am trying to find the best route to take to replace my S3. If I knew that there was a phone that I definitely wanted, I would wait til my contract is up and just upgrade at that time. The problem is that I am no positive that the S5 or One is what I want.
    I have looked on Ebay, Craigslist and Gazelle for possible replacements. I don't want to activate just some old phone. We all know 3G service has slowed considerably since LTE came on line even though the carriers deny it. I love the looks of the current HTC One and the LG G2. On Ebay, both of these phones are 350.00 and up and closer to 400.00 with shipping, etc for a phone that has been used, even if it is just slightly used. The sellers allow no refunds and I have no recourse if I get a phone that has even minor wear on it. Verizon has both of these brand new full retail at 499.99.
    I could easily just pay full retail and be done with it and continue what I pay for my two lines. Or, if I am going to buy a phone for 400.00 or more anyway now, I could enter the Edge program and pay for that device over 24 months or in 3 months if I am knocked off of my feet by either of the new phones I mentioned. Either way, I am paying full retail for a phone that I can do what I want with when it is paid off. The advantage is that if go with the Edge program, I save 120.00 a year on my plan with the 10.00 per month discount for my data plan. That is more savings than buying the phone on Ebay at 400.00.
    So, if those out there understand my scenario, and have a good idea for me, i would appreciate it. I have tried to think of everything here, but sometimes overthinking is worse. At the end of the day, there just won't be a phone out at my contract end date that will warrant me entering another 2 year contract. I won't do that... not now.
    Thanks

  • JS

    “I found out that if we used more than 6GB a month in
    data it was a no-brainer to go to the 10GB plan on Edge. I compared every cost
    included and it just makes sense to go to the Edge 10GB plus we get new phones
    every single year.”

    Some of you are posting very negatives opinions and disguising
    them as facts. Those types of opinions are misleading everyone that reads these
    articles and comments for advice. While I completely believe in the freedom of speech
    you are doing a great disservice to other consumers. I have read things on the
    internet such as “they are greedy “, “Verizon is screwing their customers” and
    other negative things etc. Verizon, just like Sprint, At&t, and T-Mobile,
    are in business to make money. You can be a perceived “value brand” like
    T-Mobile and Sprint or a “premium brand” and Verizon sure doesn’t shy away from
    that perception. Only in an imaginary world every cell phone provider would be
    cheap and offer great service at the same time. Some plans are good for some
    people and while the same plan would be horrendous for others. Coverage and
    speeds will also differ from area to area for the most part. I just wish some
    people would stop generalizing service and costs based on their “unique”
    situation by making blanket statements. I am not trying to offend anybody and I
    am sorry if I am.

    I am no Verizon fan boy having just joined them for the
    first time on 3/30/14. I am not employed by them nor do I know anybody that is
    come to think of it. I am a techie that is highly analytical when it comes to
    comparing apples to apples. I used to work in the industry years back and was
    honestly never a fan of Bell Mobile (what we call Verizon these days). I have
    had service with T-Mobile (2 years), Nextel (2 years), At&t (3 years),
    Sprint (3.5 years), and now Verizon. Before T-Mobile I never paid for a phone
    because I always had free demo phones. Over 10 years, even 2 years, things
    could drastically change when it comes to service and plan costs. If I had to
    rank them according to everything involved (customer service, prices, and
    coverage etc.) I would say 1-At&t, 2-T-Mobile, 3-Nextel, and 4-Sprint but
    overall it doesn’t matter because my scenarios most likely will greatly differ
    from yours. I would also rather pay more to have better service…to a degree.

    I recently scrutinized every cell phone plan that closely
    matched the needs for my family because “in my area” Sprint service was
    horrible and not worth the unlimited data even if it was $40 total a month lol.
    Comparing plans, although time consuming these days (!), is easier than
    comparing real world coverage. When comparing plans I took EVERYTHING into
    account and did a 12 & 24 month cost analysis. The cheapest was T-Mobile
    but only by $34; Verizon was second; and At&t was in third but only $12
    more than Verizon. My wife wasn’t crazy about T-Mobile even though I think they
    are a true contender coverage wise but she had Verizon in the past and wanted
    to go back to them. I also wanted to
    give Verizon a shot so we picked Verizon. Then I started comparing the
    traditional plans with the Edge plans. I found out that if we used more than
    6GB a month in data it was a no-brainer to go to the 10GB plan on Edge. I
    compared every cost included and it just makes sense to go to the Edge 10GB
    plus we get new phones every single year. It turned out that we will be using
    more data than we did on Sprint simply because the service is faster. Initially
    I thought we would save a lot on our monthly bill (as we did with sprint) but I
    am ok with even spending a couple bucks more a month to have blazing fast
    speeds. Time is hard to buy and that combined with my frustration with Sprint’s
    service and customer service just isn’t worth it. Edge plans are not right for
    everybody but in our case they are and as I said we can get new phones every
    year. I was shocked honestly when the numbers pointed to this. If we would use
    less than 6GB then I will just buy the phones at the subsidized price and sign
    a 2 year contract. However we have 14 days to gauge our usage so we will see
    then and switch if needed. Bottom line… Edge is great for some scenarios and
    not so great for other scenarios. Then again, as I said in the beginning, it is
    your scenario that matters.

  • Steve Colenda

    How about you get 10 gig plan then the phone pays for its self. If you have a share plan, then every phone you upgrade on edge pays for itself since you get $25 a month off your bill for having 10 or more gigs.

  • Danielle

    If you duck out in 3 months, or basically anything under the 2 years, you lose money. If you use less data than 10 GB you lose money. But before you start thinking it is entirely stupid, lets talk about my perfect scenario. I am looking for a family plan for 4. If my family did subsidized phones that would cost more than the edge plan. The edge plan will pay us, because we need 10GB, $25 a person per month. That is $100 a month for us.

    Regular plan Iphone 5s:
    Phones: $200 cost per phone with subsidy or $800
    Monthly line access: $40 x 4 = $160
    Data: $100 monthly for 10 GB data

    This is $260 monthly x 24 months = $6240
    Add the totals $6240 + $800 = $7040

    Edge plan Iphone 5s:
    Phones: $27 per month x 24 months x 4 phones = $2592
    Monthly line access: $40 x 4 = $160
    Data: $100 monthly for 10 GB
    This is again $260 a month, but you get a monthly $25 per person discount x 4
    So $160 x 24 = $3840
    Add totals $2592 + $3840 = $6432
    $7040 - $6432 = $600 That's not stupid, that is money... Works on the free with subsidy iPhones too.
    I realize that it only applies to bigger families, but I thought it needed mentioning and the math helped me see it better. As far as other companies being better, I am not arguing that. I wouldn't know. Because adding to this perfect storm is the issue that Verizon is the only big company that really acknowledges serving my area. I am only comparing it to Verizon's regular plan. The other upside is that if I do need to trade in at anytime I still have that option. By the end of two years, most of my phones have been ones I can't resell. So, unless I think I can make something on my almost 2 year old phone at the time, it would hurt to upgrade slightly earlier at my convenience...
    If I am missing something or an element of this, please let me know. I am actually trying to decide about Verizon. We are with US Cellular now. I would like to know if I missed a step or something...
    I just wanted to point out that there are some of us for which the math seems to say the edge might save us some money...

    • Pleezzzz

      40 +4=160 20 gigs 150 ,ok insurance and taxes make each phone 55×4=220+150=370 that's 88 a phone with 5 gigs a piece or 2.5 gigs a piece you'll pay 80 but you can up grade in a year u send your phones back on the edge program and get new ones(upgrading) but the two year cycle starts over the25 per phone on more everything plan cancels them selves out. 10 gigs or over(25 off every phone on edge)so you don't pay 200 per phone so at 88 per phone (800) for phones(divide that by 12 cause say u upgrade in a year)so 81 dollars(20 gigs)10 gigs 76 roughly or how much do you pay for 5 gigs on other company's risk but it's close I bet

  • Pleezzzz

    But if you have the more everything plan they pretty much pay for it have 4 phones on the edge program and they just get yo with taxes and a buck or two I got ten devices and pay 675 a month. For 30 gigs all are phones a and and 4 are on edge so at 65~70 a phone 3~4 gigs I use 10 cause two members don't use 4g that much and all of us have WiFi so when at home 4g is irrelevant. I don't mind paying 70 a month for what I have plus all phone have insurance did the math a million times after looking at my bill and there is 100 off the price so there are being honest about this more everything plan,the big catch is two years every upgrade. U wait the year barely pay anything but when you upgrade your two years starts over.so my real question is when I upgrade in August to lgg3 will the 25 still be coming off,humm.well that's my take n the situation

  • John

    Steve B is an idiot. The new Edge contract for the Bob example would be over 24 months, not 12. So Bob would have on paid $299 towards the old phone and the traded it in. Then started a new 24 month Edge program agreement for the new phone. Bob would have paid $349 towards the new phone after 12 months. So in a 24 month period only paid out a total of $549. Steve B with his retarded math and pointless interest calculation are incorrect. Verizon isn't making extra money off their customers or charging interest. They are simply allowing customers to pay for the full phone price (unsubsidized) in monthly installments.

  • tanita

    I think it's a great offer I'm trading my shitty phone today to upgrade to a s5 n I love the service cheaper then goin out and purchasing a brand new one.