said by chgo_man99:
No one wants to pay full price for phone and still pay the same price monthly for service. they are not really much cheaper than their competitors. Still require contract for that?
Please learn about what you are going to talk about before talking about it.
Under T-Mobile's Classic plan, say you wanted a $600 phone and your monthly plan was $100. Under the value plan and Equipment Installation Plan (EIP), you would pay $200 down for the phone, and a maximum of $20/month for 20 months. Your phone plan would be $80 instead of $100, but the net effect is that it doesn't change vs the classic plan, for the first 20 months. For the remainder of the contract (4 months) you end up saving a minimum of $80 that you would have spent under the classic subsidized plan.
Don't want a $600 feature phone? Go find a cheap $20 unlocked flip phone or a used phone a year old that someone wants to get rid of. Don't pay the $20 EIP each month and save $20 a month. Content with your 2 year old smartphone and don't need a new one? Keep it, save the $20 a month or put it in a piggy bank to pay for your next phone if/when you want to replace your current one.
The maximum EIP per phone is $20/month for 20 months, for a total of $400. If the phone is over $400, then the down payment is the difference. If you want to put $400 down on a $600 phone, that's fine too. Your EIP monthly price is then $200/20 months or $10 a month. You can also pay it off whenever you want although you have to pay off all phones the entire amount at the same time, you can't just pay extra or pay one off and keep paying on others.