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Wireless Innovation: Verizon Conjures Up $30 Upgrade Fee for New Equipment

Phillip Dampier April 11, 2012 Competition, Consumer News, Verizon, Wireless Broadband No Comments

Back in December, Verizon Wireless lit a firestorm over a new $2 “convenience fee” for those paying their bills online or using the company’s pay-by-phone service.  Days after being announced, Verizon canceled the fee.

Now the company is back with a new one, following other wireless carriers who impose fees when existing customers upgrade their phones, often when renewing their contracts.

Brenda Raney, a Verizon spokesperson, broke the news earlier today:

On April 22, Verizon Wireless is implementing a $30 upgrade fee for existing customers purchasing new mobile equipment at a discounted price with a two-year contract. This fee will help us continue to provide customers with the level of service and support they have come to expect which includes Wireless Workshops, online educational tools, and consultations with experts who provide advice and guidance on devices that are more sophisticated than ever.

While the upgrade fee is not unique to Verizon Wireless, most devices can be traded in with our green friendly trade-in program at www.verizonwireless.com/tradein as a way to save money or potentially offset the fee completely.

Among other carriers, AT&T matched Sprint, having recently doubled their upgrade fee to $36.  Sprint and T-Mobile often waive their fees on request, especially for good customers.  Sprint charges $36 and T-Mobile charges a comparatively cheap $18.

Wireless carriers, especially Verizon and AT&T, typically follow one-another when new fees and surcharges are introduced.  If accepted by customers at one carrier, the others often follow with similar fees of their own.  Only Verizon’s “convenience fee,” charged to customers trying to pay their Verizon bill, seemed to generate enough outrage to force the company to back down.

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