No Contract vs 1 year Contract vs 2 year Contract questions.

[AlphaDroid]

Here is what I understand, correct me if I am wrong.

This would be a California purchase on a Motorola Droid. I have the option of buying in a CA Verizon or other stores and paying 9.75% tax or buying online outside of CA and no tax. I do not need the phone immediately and can wait for the shipping.

Option 1: If you buy a Droid from VZW store with "No Contract", they charge you $560 plus tax at 9.75% ($54.50 in CA). So you are paying roughly $613 for the phone and there is no 1 or 2 year contact.

Option 2: If you buy a Droid from VZW store with a 1 year contract, they charge you $270 plus tax at 9.75% (in Ca) at the $559 price. So you are paying roughly $325. If you cancel early, you will pay a fine of $350 effective Nov 15, 09.

Option 3: If you buy a Droid from VZW store with a 2 year contract, they charge you $200 plus tax at 9.75% (in Ca) at the $559 price. So you are paying roughly $255. If you cancel early, you will pay a fine of $350 effective Nov 15, 09.

I would probably keep the phone for at least 1 year. Does option 1 sound better? Who wants to be locked up with a 2 year contract when these devices seem to change every year?

The new $350 early cancellation price is horrible.

Can anyone give me some ideas on what is really the best option to purchase?

Thankyou.

Source link: http://www.verizonwireless.com/b2c/store/controller

 

[Squidpoker]

I would say the 1 year contract is the best option. It's only 1 year that you'll be stuck with it, which isn't that long. Buy it online For around $270, 1 year pricing is usually $70 more than the 2 year.

 

[88Droid]

also know with the new ETF that for every month you fulfill and commit to your contract $10 is deducted from the over-all charge of $350.00... so if u were to jump ship come this time next year u'd be paying $230, not $350

 

[HarlyFan]

also know with the new ETF that for every month you fulfill and commit to your contract $10 is deducted from the over-all charge of $350.00... so if u were to jump ship come this time next year u'd be paying $230, not $350

Good to know!!!

 

[kpiskin]

I only had to pay $230 for a one year contract, no brainer to me. Much less expensive than trying to buy yourself out of a contract half way through. Gives you more flexibility down the road.

 

[bacalao]

I went with option one personally. I'm coming off a storm1 and didn't have enough months under my belt for an upgrade price. Also, my new-every-two is due for next August, close to a year ahead (just in time for a chance to upgrade with that extra $100). Bought the phone online, $530.
Soon as it shipped, I read about people receiving early upgrade offers, and some people just opening another line on their account..
I thought, man, I just made an impulse buy... While I was waiting for my main woman in the mall, went in vz store and played with my future toy and have no regrets!