Upgrade Your Smart Phone
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Owning the latest and greatest can cost you. Here's how to work the system.
James A. MartinPC WorldFriday, March 24, 2006; 12:10 AM
Tempting new smart phones are showing up with frustrating frequency. In the past few months, Cingular began offering Research in Motion's BlackBerry 8700c and Sprint PCS started selling its Smart Device PPC-6700 . Just after New Year's Day, Verizon Wireless unveiled the Palm Treo 700w .
Why is this frustrating? Because wireless service providers offer their best deals to new subscribers. Those of us already locked into a wireless service plan may be asked to pay full retail price for a new handset--which can be $500 or more.
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This week, I'll explain some ways to save money when you upgrade your smart phone. Next week, I'll follow up with tips on taking a drastic step: switching cell phone carriers.
Recently, I decided to switch from my Nokia 6230 to a Palm Treo 650 smart phone.
As a Cingular customer, I was only eligible to upgrade to a new device every 21 months. I was told that I couldn't buy a new device from Cingular at a discounted price until March 30, 2007.
Call me impatient, but I can't wait that long. So I explored my options:
Paying the undiscounted $500 price was hardly a compelling option. At the time, new Cingular subscribers who signed a two-year service agreement got the Treo 650 for $200 less.
By adding another line to my existing Cingular account, a Cingular customer service rep explained, I would qualify for the new-subscriber discount. (A Cingular spokesperson could not confirm that this was a valid offer available to all Cingular subscribers.) But the extra line would cost $10 per month. If I didn't need that extra line--and I didn't--I would be spending $240 over the life of the two-year contract in order to save $200.
Asking for a better deal sure couldn't hurt. Some wireless service providers will offer existing customers in good standing a deal on a new phone; the Cingular rep called this an "exception upgrade."
When I asked for a deal, the rep said that three things qualified me for an exception upgrade: I had been in my current contract for over six months; I had no past-due balance on my account; and I had had no suspensions due to non-payment. Instead of $500, he said, I could get the Treo 650 for $370 (after a $100 mail-in rebate). The $370 price is what new customers signing a one-year contract would pay; to get the $300 price, new customers had to sign a two-year contract.
Cingular's spokesperson later confirmed the validity of the offer. She added that after 12 months, customers can upgrade to a new device for the same price that a new customer signing a two-year agreement would pay. In the case of the Treo 650, that's $300.
First I headed to eBay, where I discovered I could buy a new, refurbished, or used Treo 650--for about $400, or more if the phone is unlocked.