T-Mobile, the fourth-most popular carrier in the United States in terms of subscriber numbers, announced today that it is launching a new promotion whereby any new, eligible customers will not have pay a single cent in downpayment for a new phone when signing up to a T-Mobile USA plan. Customers can now receive new devices for free and spread the cost over the terms of their contract, which in most cases is 24 months.
In the case of the iPhone 5, customers pay an extra $27 a month on top of their standard price plan, which includes any minutes, text messages and internet access, with no interest payable. Prior to this, the iPhone cost $145.99 upfront plus 24 monthly payments of $21, giving a total cost of $649.99 – under the new plan, customers pay $648 in total for the device. It is important to note here that this promotion is only valid for the 16 GB model; the 32 GB and 64 GB models are not available at a special promotional price.
T-Mobile's recently initiated JUMP plan, which is designed to allow customers to upgrade their phones twice a year after paying an additional $10 device fee, can be combined with the new $0 downpayment program. According to T-Mobile, the $0 price promotion is available for a limited time, though the company did not specify an ending date.