Clarify Verizon Edge?

[Skandha]

So I use an iPhone 5 and a Note II on a daily basis, and love them both, but haven't really given Windows Phone a good try yet.

I was looking into buying the Lumia Icon from Verizon, My contract is up in September. http://www.verizonwireless.com/b2c/device/smartphone/nokia-lumia-icon

 

I'm perfectly willing to wait till then to buy the phone on contract for $199, but I saw the Verizon Edge option and started thinking about it,

 

If its the same or cheaper to use Edge instead of buying on a contract renewal, I'd rather do that, that way I'm not locked into a contract.

 

"By participating in Edge, customers on data plans of up to 8 gigabytes get $10 a month off,"

and on top of that I believe it is now 24 months instead of 20 before you get an upgrade on your phone. (Starting from contracts signed sometime last year I believe)

 

Price of phone off contract - $549.99

 

Edge Price

 

$22.91 -$10 = $12.91  (The -$10 is for the discount listed under the Edge option, I have a 4GB plan)

$12.91 x 24 = $309.84

 

2 Year Contract Price

$199.99

 

Did I miss something or is it actually more expensive to buy the phone using the Edge plan?

[TheNinjaNextDor]

Those plans are a complete scam. I wanted to use the ATT next thing and you have to be off contract and THEN be able to pay monthly to use the phone.

 

Definitely try the phone first somehow.

[MrYuriy]

I'm not sure about the math, but what I do know is how the program is supposed to work..

 

Basically, you are financing the phone.

It should cost a little more than it would with the 2yr contract price.

Essentially, the theory is they are "doing you a favor by letting you get the latest and greatest" - But you are going to pay a small premium for that "favor".

But, if you broke your phone and are still locked into your 2yr contract.. You don't have much of a choice, and this is one that you now have.

 

However, again, I don't know the math nor would it suffice if I did it, since I am not rock solid on the exact terms. I worked for Verizon before the Edge program.

[Skandha]

Well I'll probably just wait then, it's not like I'm in need of a new phone at the moment.

 

and as far as the math is concerned, unless I miscalculated it should be right.

 

On the Edge Program you have to pay the price of the phone/24 months, in this case $22.91 per month, but you get anywhere between $10-$25 discount on your plan per month while you're paying off the phone, in this case $10.

So it plays out to paying $12.91 for the phone each month, since the $10 off the plan is outweighed by that months installment for the phone.

Which is $309.84, over $100 more than the 2yr contract price.

 

So from what I can tell, the Edge program is more expensive than buying on a contract price. An extra $100 for the luxury of not paying full price upfront is a bit questionable though, for those who can't wait I guess.

[MrYuriy]

Well I'll probably just wait then, it's not like I'm in need of a new phone at the moment.

 

and as far as the math is concerned, unless I miscalculated it should be right.

 

On the Edge Program you have to pay the price of the phone/24 months, in this case $22.91 per month, but you get anywhere between $10-$25 discount on your plan per month while you're paying off the phone, in this case $10.

So it plays out to paying $12.91 for the phone each month, since the $10 off the plan is outweighed by that months installment for the phone.

Which is $309.84, over $100 more than the 2yr contract price.

 

So from what I can tell, the Edge program is more expensive than buying on a contract price. An extra $100 for the luxury of not paying full price upfront is a bit questionable though, for those who can't wait I guess.

 

Yes, but in someone else's case.. If their phone broke and they're still in contract, their only other choice is to pay up to $375 to cancel the two year contract.. Getting a new phone for less than the cancellation fee is a good deal in this particular case, of course.

 

In your scenario, yes, it's not the best deal.