Smartphone Financing, T-Mobile now lets you finance a smartphone for 36 months

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Smartphone Financing – Why it’s important: When the smartphone pushes past the $ 1,000 barrier, it’s not surprising to see operators offering financing options to reduce monthly blows. Like when financing anything, remember the true price of the product to determine whether you really can afford it.

In the past, wireless, operators will subsidize hardware costs through contracts. Things work differently today because consumers are now responsible for paying for their devices completely. Transitions were relatively smooth when operators began offering to finance devices through payment packages.

Smartphone Financing

In the eyes of many consumers, it doesn’t change much … well, except for one thing.

A flagship smartphone with a price of more than $ 1,000 is fast becoming commonplace and not everyone likes this new normal. Of course, there are alternatives that are more affordable and many of them are very good but if you want the latest and greatest cellphone, you pay more for it now than before.

How does the operator overcome the potential of this sticker shock? Simple – by stretching the amount of time you have to pay for the device, thereby reducing monthly payments and making it look more affordable.

T-Mobile now offers 36 months of Installment Equipment (EIP) packages on certain devices to help reduce monthly fees. For devices like the LG V40 ThinQ, which sells for $ 920, those who successfully pay $ 25.56 per month for 36 months.

In today’s society, many people miscalculate what is actually valuable. If they are able to make monthly payments, they only assume they can afford the product. This is a wrong way of thinking but is very commonly used so most people don’t know what’s better.

Plus, who wants to make telephone payments for three years? Can you imagine still making payments on the iPhone 6S?

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