T-Mobile is now moving to longer installment plans. The carrier’s Equipment Installment Plans (EIP) are now spread over 36 months instead of 24. The change seemingly went live this week, coinciding with the company’s holiday deals on Samsung and Apple devices. This is an interesting development, considering T-Mobile took a dig at rivals for imposing 36-month financing plans and suppressing upgrades. The company probably understands this is a retention tactic.
T-Mobile is switching to longer installment plans
T-Mobile’s longer 36-month installment plans apply to tablets and watches, according to the changes on its website, as spotted by a Reddit user . What this means is that if you choose to pay for your device monthly, you’ll now get 36 months to do so. A longer installment plan means your monthly payments will be smaller as the cost of the device will span across longer period. But you’ll have to stay with T-Mobile for a longer period.
However, you can pay off your device early. But doing so would forfeit your Recurring Device Credits (RDC). You will stop getting any bill credits that you were entitled to for taking advantage of a promotion. Since most users would not like to forfeit the credits, this sure seems to be a retention tactic. This means you may have no other choice but to stay with T-Mobile’s longer installment plans.
This switch applies to tablets and watches
T-Mobile’s 36-month EIPs briefly went live on the official website back in June. But the company held off the move until now, anticipating backlash. For now, the carrier is offering 24-month EIPs for smartphones, and this may continue for a while. This is considering the Experience More and Go5G Plus plans offer a “New in Two” guarantee that lets customers upgrade every two years.
