T-Mobile to implement new early termination policy

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Gillmor Gang 06.23.08

t-mo

T-Mobile will be joining the various other wireless providers in providing prorated early termination fees. I use the term “prorated” loosely, as you won’t actually save any money until you’ve been a customer for a year and a half. At 180 days from the end of your contract, though, your early termination fee will drop from $200 to $100 and at 90 days, the fee will drop to $50.

The new fee policy will begin on June 28th and will only apply to new customers or those customers that renew their contracts after June 28th.

Full release after the jump.

BELLEVUE, Wash. – June 23, 2008 – T-Mobile USA, Inc. today announced a new approach to early termination fees (ETFs) that provides greater flexibility for T-Mobile customers.

Beginning on June 28, 2008, the ETF for customers who choose a one-year or two-year service agreement with T-Mobile will decline during the course their contract. The ETF decreases from $200 to $100 if customers terminate service with 91 to 180 days remaining on their agreement; and decreases again to $50 with fewer than 91 days remaining. If customers terminate in the last 30 days of their term, the ETF is $50 or their standard monthly charge, whichever is less.

For customers who do not want term commitments or ETFs, T-Mobile offers a variety of service options, including:

· T-Mobile FlexPaySM: A program that offers customers access to nationwide long-distance calling and roaming, the latest phones, and T-Mobile’s great rate plans including myFavesSM — all without having to commit to a long-term service agreement or make a hefty deposit.

· Prepaid Plans: Flexible plans that give customers the freedom to communicate with no annual contract, no credit checks and no monthly bills. Prepaid options include:

o Pay By The Day: Recently introduced, this option costs $1 per day only on days when the phone is used. In exchange, customers get unlimited T-Mobile-to-T-Mobile calling all day and unlimited nationwide calling from 7 p.m. to 6:59 a.m. All other domestic calls are just 10¢ per minute and text messages are 10¢ to send and 5¢ to receive.

o Pay As You Go (previously named T-Mobile To Go): Customers can purchase minutes as they need them. Customers who purchase $100 in refills become Gold Rewards members and receive 15 percent more minutes on all future refills.

o Sidekick Prepaid (previously named Sidekick To Go): T-Mobile Sidekick® fans receive unlimited domestic e-mailing, Web browsing, instant messaging, and text messaging for $1 per day, and nationwide calling costs just 15¢ per minute.

“T-Mobile continues to set the pace in offering customers a number of flexible plans and services that don’t require a contract to help them stay connected to those who matter most,” said Sue Nokes, Chief Customer and Operations Officer, T-Mobile USA. “In addition, by providing this flexibility and choice, our hope is that T-Mobile customers will be happy customers for years to come.”

Earlier this year, T-Mobile received highest ranking in the J.D. Power and Associates’ Wireless Customer Care Performance StudySM for the seventh consecutive reporting period. Additional information about T-Mobile calling plans can be found at http://www.t-mobile.com/shop/plans/.

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