2 Replies Latest reply: Oct 28, 2009 10:43 PM by SuzyQ RSS

    1 vs. 2 year contract

    ahawk

      What are the differences between 1 vs. 2 year contract on a family plan, apart from the length of the contract ? 

       

      1. With regards to price. I know the phone may be more expensive and activation fees needs to be paid on a 1 year contarct.  Any other difference ?

       

      2. Upgrade. If Verizon allows annual upgrade, what is the difference between 1 or 2 year w.r.to upgrading the phone(s) in the family plan ?

       

      Thanks in advance.

        • 1. Re: 1 vs. 2 year contract
          sadie85

          The longer contract you sign the greater discount you get off the phone because Verizon is getting more money from you in the long run. Activation fees are only paid when you first sign up for service. That doesn't change for single or family share plans

           

          For the annual upgrade...Only a primary line can do an annual upgrade on a familyshare. At that point you are able to upgrade at the 2 yr contract pricing after one year. That will extend your contract out for 2 years from the date of upgrade. Since Verizon is letting upgrade early, one year into your two year contract there is a $20 processing fee on top of the cost of the phone, unless you are VIP then the fee is waived. When you do the early upgrade you do change you New Every Two date and maybe even credit amount.

           

          New Every Two gets you a credit off the 2 yr pricing 20 months into your contract. If you have a $100 credit and do an early upgrade your NE2 credit gets moved to 20 months after you do the upgrade and you'll have a $50 credit. Verizon changed the NE2 program and lowered the credits from $100 to $50 for a higher cost plan and $50 to $30 for lower cost plans. I don't know at what cost plan your get the higher or lower credit.

           

          Hope that answered some questions!

          • 2. Re: 1 vs. 2 year contract
            SuzyQ

             


            sadie85 wrote:

            ...New Every Two gets you a credit off the 2 yr pricing 20 months into your contract. If you have a $100 credit and do an early upgrade your NE2 credit gets moved to 20 months after you do the upgrade and you'll have a $50 credit. Verizon changed the NE2 program and lowered the credits from $100 to $50 for a higher cost plan and $50 to $30 for lower cost plans. I don't know at what cost plan your get the higher or lower credit.


             

             

            Here's a link to Verizon's page on the NE2 and how it works - If your primary line cost is $34.99 - $79.99, you get a $30 NE2 discount, and if your primary line is $79.99 or higher, you gt a $50 NE2 discount.

             

            And excellent summary of the 1 and 2 year upgrade options, sadie.  Well said!