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- Apr 15, 2007
Here is the simplest way i have seen it broken down.
There is ATT NExt for 12 months and for 18 months. Now it means you have to pay at least 12 months on your phone before upgrading or 18 months before upgrading. Lets roll with the 12 month example
Lets say you pay the FULL UP FRONT price for a samsung galaxy s4 ($640 or so).
For the 12 Month plan for ATT Next they amortize that amount over 20 months so you pay $32 per month with 0 up front cost
With that $32 per month you also pay a built in subsidy that is in your bill already which tends to be around $20 per month. This is what allows people to pay the upgrade price. (this is the whole catch that this does not come out of your bill if you do ATT NEXT)
So
After 12 Months you pay $32 and $20 per month = $624 for the phone which is worth $640 full price. And you don't get to keep it...but hey you get the luxury of upgrading early
But lets say you love your phone and want to keep it for the full 20 month pay off period that ATT NEXT offers.
$32 and $20 per month for 20 months = $1040 for a phone that is worth $640
There is ATT NExt for 12 months and for 18 months. Now it means you have to pay at least 12 months on your phone before upgrading or 18 months before upgrading. Lets roll with the 12 month example
Lets say you pay the FULL UP FRONT price for a samsung galaxy s4 ($640 or so).
For the 12 Month plan for ATT Next they amortize that amount over 20 months so you pay $32 per month with 0 up front cost
With that $32 per month you also pay a built in subsidy that is in your bill already which tends to be around $20 per month. This is what allows people to pay the upgrade price. (this is the whole catch that this does not come out of your bill if you do ATT NEXT)
So
After 12 Months you pay $32 and $20 per month = $624 for the phone which is worth $640 full price. And you don't get to keep it...but hey you get the luxury of upgrading early
But lets say you love your phone and want to keep it for the full 20 month pay off period that ATT NEXT offers.
$32 and $20 per month for 20 months = $1040 for a phone that is worth $640
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