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Our friends at Phone News remind us that new and renewing AT&T customers will now have their $175 early termination fee reduced by $5 per month. So if you want out in the 23rd month of the contract (for some unbeknownst reason), it’ll cost you $65 instead of $175. I just hope none of you signed an AT&T contract on Sunday.
This comes while the FCC is working to create a more consumer-friendly way to handle contract terminations, though the deal might not happen. Consumers don’t want to give up their right to sue, which would be part of such an agreement. The Supreme Court just rejected a T-Mobile appeal regarding the allowance of class action suits despite a binding arbitration clause in consumer contracts
The program in place by Verizon and now AT&T seems like a good compromise. You sign a contract, you get a subsidy on your phone. If you want out early, you can, you just have to pay back the subsidy. While it’s far from an exact science, once again, it’s better than having to paying $175 in month 23.
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