AT&T customers with grandfathered unlimited smartphone data plans are going to see their rates unlocked and hiked in February. The company says it is bumping up its rate by $5 a month to enable its continued delivery of optimal service as use of mobile data hits record levels.
For a customer with one line, this equates to $60 a year. Multiply that by 100 lines for a $6,000 annual increase, or 1,000 lines and the budget has jumped to an extra $5,000 a month or $60,000 per year. Don’t forget to add in additional corresponding taxes for the increase in spend. AT&T expects consumer and business use of mobile data to continue its upward spiral and cites this as the first time in seven years that it has instituted an increase.
Here are the four key things to know:
- AT&T says this change will not affect current unlimited data speeds. The exception is if a customer is in a congested area and has gone over the 22GB limit that billing cycle, then it will be throttled.
- Changing plans is absolutely an option, but comes with a caveat. AT&T says that customers who leave their current plans cannot switch back to the unlimited data plans in the future. As a side note, the company is cross-marketing its Mobile Share program that rolls over unused data for one month and touts a 15GB-for-the-price-of-10GB offer.
- Current customers who cancel their wireless services because of the $5 hike will have their early termination fees (ETFs) waived for the lines impacted by the price increase. This is contingent on customer cancellation within 60 days after the price increase first appears on the wireless bill. Another limitation is that if a consumer enters into a new term commitment after receiving notice of the rate hike and then cancels, the ETFs will apply.
- Customers with smartphones on an AT&T NextSM installment plan are required to pay the remaining NextSM balance for any cancelled lines.
If you have any questions about how this change could impact your company, please click here to contact The Bill Police. In addition, we have a brand new guide that may just come in handy sooner than later! If you would like to learn more about renegotiating your wireless contract, be sure to request our free guide, The Five Questions You Should Ask When Renegotiating Your Wireless Contract. Simply click here to download your copy today!
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