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Adjust the Early Termination Fee, Sprint
Posted Mon May 25, 2009 12:00 pm, by Nancy H. written to Sprint Wireless
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I was charged $1000 ETF by Sprint. Legally I am responsible (I read the fine print too late). I thought that ETFs are charged for the "account" not per phone. I was an excellent customer for 8 years. My son wanted an Iphone for his birthday/graduation and that combined with a recent move where we "bundled" local phone, internet, television made sense to switch to the different carrier (where I could get the Iphone and also bundle the cellphone with other services). The other company told me they could arrange "porting" our phone numbers and terminating my contract with Sprint. The company asked me if I knew about ETF--I said I did because I thought I did.
Well I get a final bill from Sprint for almost $1200. I then see that I was charged $200 per phone for 5 phones! I did some research and discover that the ETFs are very unpopular to begin with, that a judge in California ordered Sprint to refund ETF to customers; that Sprint has changed their policy to a prorated system, and that there are blogs/websites educating consumers on how to get out of ETF contracts.
I thought I could call and be "reasonable." I explained to the representative and to two supervisors that I'd been an excellent customer for several years (I have spent several thousand dollars for services and always paid on time), that I made a mistake, that I never had expensive phones (that's the major reason I saw for ETF--to offset the phone charge), and I asked for an adjustment. I was absolutely told that under no circumstances will ETFs be adjusted. I said I would be willing to pay half--$500 (which was still more than double what I thought I would be paying). The only way I could do that or have it waived was to "port" all my phones back to Sprint.
I would like Sprint to adjust my ETF and refund me at least $500.
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The Sprint contract is very clear that the ETF is charged per line, not per contract. They don't take into consideration that you have not had any expensive upgrades as that would be a nightmare for them. Who gets the reduction and who does not?
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I guess my reaction is pretty simple, and it's a lesson to *everyone* out there in the world: Read the fine print FIRST, follow the rules, and when you don't, except to pay up the wazoo!
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Being a GREAT customer for 8 years was great, however you left them for their competitor. Not being a customer anymore after you left them kind of takes away your leverage. Read the fine print first…
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by Just Jeffrey Posted Tue May 26, 2009 @ 8:47 AM
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Let's start with the worst news: as you now know, your contract was clear that this was PER LINE. So, they have you.
OK, but there's always room for negotiation, right?
Unfortunately, you've already canceled. That leaves you with very little to offer them. You see, you're asking for them to refund some of the money (which, by your own admission, they don't legally have to give you), but you have nothing to offer them. You're not willing to switch back. You're not willing to do anything for them.
The best time to negotiate is when you're about to leave. At least, then, there's some hope of making a deal. But, since you've left and have told them you are not coming back, why should they do anything for you?
The fact that you've been a good customer in the past is great, but it doesn't help them going forward.
As for the ETF lawsuit, it's actually a bad thing for you. The lawsuit has caused Sprint to change its policy, but only for those entering contracts after a certain date (I think it was last November, but I could be wrong on that). And the refunds are only given to those that canceled before that date.
The bad news is that because the lawsuit is done, Sprint has been allowed (by the court) to keep the old ETF policy for those that entered into contracts before the "cut-off date" and did not get charged an ETF before that date. In other words, the court has ruled that Sprint may charge you the full ETF, as they have. That's bad for you, because Sprint has every incentive to enforce the policy on people like you (and me, for that matter) to "offset" their loss for other customer groups.
The fact that ETFs are unpopular is irrelevant to Sprint. I monitor things at Sprint and I can tell you that their current policy is not to worry so much about what's popular or not. They are looking to rebuilt their business, but have made a deliberate decision to shed customers that expect "favors." Their business model is changing. Maybe it won't work, but for now, they aren't even willing to do small "no cost" favors for customers that are STAYING, so why should they do a favor for someone that's already left and isn't coming back?
As for the tricks to get out of ETF: they require that you contact them BEFORE you cancel, but after.
OK, enough bad news. The good news is that Sprint reps really vary in their knowledge and willingness to help. Given the amount of money, you might want to call them, every day, and pester them to refund some of the money, until you find a rep that's willing to do it for you. Call enough people and, perhaps, at some point, someone will take pity and give you the refund... or will make an error and give it to you.
Be aware, however, that there have been automated and manual audits. People have found that, even after a rep credits an account, that the fee is reapplied weeks or months later. Sprint is not shy about retroactive changes, when a rep has made an error in the customer's favor.
But, hey, it's worth a shot. All you to lose is the time spent on the phone.
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by Donno Posted Tue May 26, 2009 @ 8:38 AM
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You say right up front you are legally responsible. Therefore I don't see why they would meet you halfway - why not demand all of what you are contractually obligated to pay?
Legally speaking, I am not sure if or how the class action suit affects you. I believe you were part of the class based on when you signed up for the service. There are multiple affected parties, evidently - the claims were for one part were due May 11, but others not until 2011.
It may be your best course of action is pay the tariff now (to keep your credit clean), and go back and pursue a claim (if you can) as part of the class action suit.
I wonder if and what they are planning to alter about their ETF structure, base on the fact there was a class action suit settled. It seems surprising they would continue to conduct business the exact same way.
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