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AT&T to cut its Next financing options from four to two starting on June 9th


AT&T is reducing the number of financing options that its customers have when purchasing a new phone. Starting on June 9th, the nation's second largest carrier will offer two simple and clear-cut choices for its subscribers. AT&T Next Every Year will allow customers to upgrade to a new phone every year. With this plan, you are financing your phone over 24 months, but can upgrade to a new device once you have made 12 monthly payments, or paid off 50% of the retail price of the handset. You must, of course, hand in the phone you are paying off.

The second financing option is simply called AT&T Next. This plan gives you a financing term of 30 months and allows you to upgrade to a new device after 24 monthly payments, or 80% of the device has been paid down. The phone that you are paying off must be turned in at the time of the upgrade. This is actually the AT&T Next 24 plan that is currently available.

There are some other tidbits to mention. Those who own their device can trade it in at AT&T and receive a credit toward a phone purchase. And if the customer wants to, he can make a down payment to be applied to the cost of the device, lowering the remaining monthly payments.

Currently, AT&T has the Next 24 plan which is a 30 month financing plan that allows an upgrade after 24 monthly payments (similar to the new AT&T Next). Next 18 is a 24 month plan that permits an upgrade after 18 monthly payments. Next 12 is a 20 month financing plan with upgrade availability after 12 months. And Next with down payment requires a 30% down payment. After 12 payments you can upgrade to a new device, and the total financing package is 28 months. Each of these four plans requires the customer to turn in the device he/she is paying off when upgrading.

AT&T is hoping that by reducing the number of Next financing options, it will reduce any confusion and make selecting a plan much easier for its customers.

source: AT&T

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