Value Plans Vs. Classic
Hi there. I had a quick question that maybe someone might be able to answer for me.
I'm currently on a 2 year contract with T-Mobile which I started in September. I was looking into getting a bit of a cheaper plan <with less whenever minutes basically> and the same amount of Data, if that's possible.
Currently I'm on the Unlimited Classic talk and text with 2 GB data.
When I go to investigate changing, it comes up with the following statement:
"You will incur a one-time Rate Plan Migration Fee of $200.00 with this plan choice."
Why would I incur a migration fee if I'm already ON T-Mobile to begin with? Are the value plans not on contract or something?
- 12-06-11, 05:36 PM #2
Value plans are on contract, which is why you can't switch, because you are already in a contract term.
Value plans require signing a new contract, since they are essentially subsidizing the plan and not the handset. Otherwise you would be able to get a regular contract with a subsidized phone, then switch to the value plan mid contract and get the cheaper plan, which defeats the purpose of the value plans.
- CrackBerry Abuser
12-06-11, 06:22 PM #3
- 125 Posts
Value plans: Cheap monthly rate, but pay full price for a new phone. (on 2 year contract)
Classic plans: Increase cost of monthly rate compared to value plan, but you get discount on phone. (on 2 year contract)
Sounds like they don't want you double dipping if you got a discount on a phone signing a contract to a Classic plan and then wanting to switch to a Value plan a few months later.
If you try to increase your plan or downgrade your plan within the Value Plans or within the Classic Plans T-mobile just extends your contract without a fee. I think the problem you have is that you want to switch sides. You must stay on one side of the court or the other to avoid that $200 fee.
Last edited by malanis5; 12-06-11 at 06:26 PM.
- CrackBerry User
12-06-11, 07:10 PM #4
- 19 Posts
To anyone that is on the "even more plus" plan
My husband and I have been on the "Even More Plus plan" for T-mobile with my Blackberry Curve, and his Samsung Galaxy S. We decided to go contract free, and pay a flat rate of $139.99 for unlimited talk, text, and web. Every single time I look to downgrade, or go contract, there isn't a unlimited data plan that would work for me. That plan is grandfathered, and between work, and Pandora, our DATA use is insane. Unless T-Mo goes to At&t.. I will stick with this as long as I can.
- 12-06-11, 07:26 PM #5
Chaviv, even with the $200 migration fee, after you do the math, you might still find switching to Value Plan to be cheaper than staying with Classic. It depends on your current plan and voice/text/data usage. I've been with TMO (or their predecessors) for 14 years. In most cases (unless you're on a ridiculously awesome grandfathered plan and use tons of data) the Value plan is cheaper than the Classic plan, by $15-$20/month, even considering you must pay full retail for the phone. With the Classic plan, TMO is basically financing your phone at a ridiculously high interest rate, and, ironically, the cheaper the phone, the worse the deal.
- CrackBerry User
12-06-11, 07:27 PM #6
- 14 Posts
The "migration fee" will decrease the longer you stay on your classic plan. It basically reduces by $50 every 6 months you get closer to your contract expiration date. Think of it as that pesky "termination fee" you would incur if you canceled your classic plan. Same thing. They are recouping the "loan" on your handset.
pastorglen, thanks for that. I didn't know that, and it makes a lot of sense what you say.
dosto , here is my current breakdown for the past 3 billing cycles:
I did an average for the past 3 months in terms of minutes, and it came out to less than 100 minutes a month, so unlimited seems like it's not the plan I need.
However, I did send/receive a lot of texts and when I checked my data, it averaged less than 200 MB of data a month. I was doing research into seeing if there was a cheaper plan even tho I was on contract.
I'll continue to do some research on this. Thanks for everyone's input so far. It's been very helpful to me.
Last edited by Chaviv; 12-06-11 at 07:40 PM.
- CrackBerry Abuser
12-06-11, 09:11 PM #9
- 114 Posts
Value Plans are not being subsidized by T-mobile
You have a choice to get ripped off by T-mobile through the Classic plan. Under this plan you pay significantly more for your monthly services (data, text and voice) and get a discount on an phone upgrade
The value plan is where you the subscriber aren't subsidizing T-mobile to provide you a discount on a phone upgrade.
Anyone who understands the 'time value of money' would NEVER purchase the classic plan
- 12-06-11, 09:50 PM #11
Stayed with the classic plan, but ...
Given the lousy phone subsidies on Blackberry at TMO, it would have been slightly cheaper to pay for the phone and get the value plan over the two year contract. TMO gave me an additional $250 discount on a 9900 when I tried to pay the $200 EFT and end the contract. That shifted the math to my favor ... and I have a $59 mo grandfathered rate. Your results my vary.
I got my phone through Letstalk.com, and I got a heavy discount on it.. and they automatically signed me up for the classic unl talk/text. I deliberately chose that site because they were selling the phone for 100 dollars cheaper than on the tmo website....
- CrackBerry Newbie
01-11-12, 07:43 PM #16
- 1 Posts
Value Plan vs. Classic
I just signed up for tmobile on the 4th and got my new phone as of the 9th. I've been looking into this issue for the past week or so now and so I just talked with a Tmobile employee (online chat) today to try to clear this up. This is my chat log:
You have been connected to ~Holly B.
QUESTION: Difference between value plan and classic plan
~Holly B: Welcome to T-Mobile Chat service. My name is Holly B for your reference my rep ID is 13-20138. First, please allow me one moment to review the information you have provided.
~Holly B: Thank you for your patience. I certainly can help you with your issue.
~Holly B: Hi [Me], I will get that information for you.
~Holly B: Okay, here are the differences:
- These are the plans we have always offered
- Still eligible for discounts on phone upgrades
- No equipment installment plans are available
- Best rate plan pricing available
- A migration fee may apply if you are under contract
- Not eligible for discounts on new phones although you can take advantage of a 21-month phone payment plan (with no interest) so even the most expensive phones are more affordable.
- Once converted to a Value plan, it is not possible to convert to a Classic plan.
[me]: I'm currently on the classic plan. If I switched to the value I know there would be the migration fee but would there also be another activation fee?
~Holly B: No there would be no activation fee.
[me]: Ok, 3 more questions:
~Holly B: Sure, Go ahead [me].
[me]: 1. Can I switch between plans on the value plans later on
[me]: 2. Does the 21-month payment plan work for upgrades or just the initial phone for signing up for the value plan
[me]: 3. If I may ask, What is the reason for not being able to switch back to the classic plans?
~Holly B: Yes once there are certain amount of days that you were on the classic plan for example you would need about 18 months to switch without a migration fee.
~Holly B: Okay the Ecl you would have to pay half of the phone up front, Then the rest would go on your monthly bill for 22 months.
~Holly B: Can't go back to classic plan because of the Equipment credit line.
[me]: As far as my first question, I meant if I was on a value plan would I be able to switch to a different value plan later on?
~Holly B: Yes you may.
~Holly B: It would require a new two year agreement for the switch to a different Value plan
~Holly B: Cannot go back to the classic plan because of the Equipment credit plan.
[me]: Ok. So other than discounts for upgrades, The Classic plan has no advantages, secret bonuses or extra nick nacks that you wouldn't get with the value plan?
~Holly B: No just that you can upgrade your phone. And get a discount for the phone after 22 months since the last upgrade.
~Holly B: Or you can have a early upgrade at 12 months with a partial discount.
[me]: I see. With the value plan you get no discount of any kind on any phone at any point, correct? The amount of years spent with tmobile on the value plan will not earn you any savings or discounts?
~Holly B: You are saving throught the price of the rate plan and the data features as it is cheaper on the Value plan.
[me]: One last thing, How much does the migration fee drop over how much time?
~Holly B: It goes like the contract fees get cheaper closer to the contract end dates. I will give you that information for you.
~Holly B: If you have more than 180 days left in the contract, the Early Termination Fee (ETF) is $200. When you reach 91-180 days left, the ETF is $100 and when there is 30-90 days left the ETF is $50. If there is less than 30 days the ETF is $50 or the amount of the monthly recurring charges, whichever is less.
[me]: Perfect, that's what I was wondering. Then it drops to free a when there is 0 days left correct?
~Holly B: Yes that is correct.
[me]: That's all i wanted to ask. Thank you very much!
- CrackBerry User
01-12-12, 10:22 AM #17
- 17 Posts
Another reason for not being able to switch to a classic plan. The EIP. I have an EMP plan and am unable to switch to a classic plan. Any EIPs have been paid in full. I am so glad that the original contracts are long expired as I am disgusted with their new policies that result in contract extensions for minor changes. Especially when you are paying full price for a phone and they can change things again, reduce credit lines, or not offer credit lines at all.
I have not be even able to get a straight answer about why one can't go from value to classic. Phones can be purchased in full or paid off early.
- CrackBerry Addict
01-17-12, 12:27 AM #19
- 700 Posts
I switched to the value. Had 3 phones on loyalty with grandfather bb plan and 9.99 family texting ...my bill was 200/mo. Most of my data is on wifi. Now I am on the value plan with 4 phone, 3 unlimited minutes, one has 500 minutes (my super secret phone number), 3 have 2Gig/unlimited data/text and my bill with tax and corporate discount averages $146 a month so I am way happy.
- 01-31-12, 12:04 AM #20