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Abuse of ETF
Posted Mon June 18, 2007 4:53 pm, by alistair t. written to T-Mobile USA, Inc.
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I entered into a two-year contract with T-Mobile a few years ago with few complaints. This plan was for two lines (family plan). When the contract expired, I was very diligent about not entering a new contract, as it is important to me to be able to go where the best technology is without penalty.
A temporary life change in early November, 2006, required us to use the phones more, and a call to T-mobile assisted us increasing the plan without entering into a new contract. The discussion with customer service assured me that we would be able to return to the old (cheaper) plan with no problems and without entering into a new contract - which I did online in mid December, 2006. I did NOT purchase any subsidized phones, nor did I pick a better plan than would trigger a new contract, I simply selected the 800 minute 59.99 plan and did NOT agree to a contract.
Recently, to take advantage of faster data rates, I purchased a new phone with another carrier and had one of the phone numbers ported to the new carrier. T-mobile has now charged me a $200 early termination fee, and also informs me that the other line is under contract and will incur another $200 fee when I decide to port that number over as well.
While ETFs are understandable when phones and/or service has been subsidized in some way, however they are also abused as in my case. T-mobile has absolutely NO RIGHT to charge me $400 for cancellation of this account.
1) Rebate the account (*****8145) $200 for the erroneous termination fee.
2) Remove the contract from the account.
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by alistair thurber Posted Tue July 3, 2007 @ 7:58 PM
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I received another call yesterday from customer service. T-Mobile has now owned up to the fact that their computers should NOT have renewed this contract and that I was correct all along. This is unfortunately too little / too late, as I was already forced to cancel the account and lose the phone number.
The language in their TOS might elude to the fact that they can renew your contract whenever a change of service is made, however there are certainly conflicting views and results on this.
They have different promotional plans that are clearly marked as requiring a contract, with less attractive plans that do not require a contract.
Again, make changes over the phone and keep documentation on who you spoke with, and you should be OK in making changes to an account without extending or renewing a contract!
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Wow! Sounds like cacellation the fee is t-mobile's secondary revenue stream...too bad I always considered them a good company until the same thing happened to me.
Time to revolt...
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by DragonflygrrlTheGreat Posted Tue June 19, 2007 @ 3:42 PM
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The best thing I could suggest would be to call customer care, and ask the representative to check the notes on your account. Agreeing to change a rate plan without requiring a contract extension is unusual, so the rep that did that should have put notes in to that effect. In general, however, a rate plan change to certain plans will result in an automatic contract extension, and there is a whole script which the rep reads to that effect.
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by Lee H. Posted Tue June 19, 2007 @ 7:44 AM
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Okay, here's a general question for anyone which may have a legal background to answer.
How can this subscriber, or anyone else for that matter, be held to a contract or contract extension without clearing signing such an agreement?
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by S. Brown Posted Mon June 18, 2007 @ 6:59 PM
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ANY change to an existing plan, expired or not, will result in the renewal and/or extension of the contract. The new plan doesn't have to be "better" to trigger a new contract nor does the customer have to purchase any "subsidized phones". Even if you call T-Mobile and tell them to move you to a less expensive plan - - bingo - - your contract is automatically extended. So you may not think you agreed to a new contract but your actions say otherwise.
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