Verizon to raise ETF?

According to BGR, Verizon is thinking of raising the Early Termination Fee it imposes on those who buy a high end handset and sign a 2 year contract to get the subsidized price. The reason behind a hike in the ETF has to do with the BOGO deals that Verizon has been offering on phones like the BlackBerry Storm2. Some are riding on the carrier's coattails by paying for a Storm2, getting a second one free, selling one of the phones on eBay and canceling one of the lines. The ETF is there just for that reason-to make sure that customers adhere to the two year contract that they have signed.

What BGR is hearing is that Verizon plans on raising the ETF for high priced handsets, starting November 15th, to $350. The fee would then drop $5 per month. Again, this has not been confirmed or announced by Verizon. It does make sense for the company to try to recover the subsidies they lose when terms of a signed contract are not followed. Remember, as a division of a public company, Verizon Wireless has obligations to stock and bond holders and this is not the case of a big evil empire trying to put down the man. It is a company trying to stop a flow of red ink coming from those looking to take advantage of it.

source: BGR