T-Mobile is updating how trade-in works and some users will be displeased

T-Mobile will start accepting broken trade-ins starting in October but there's a catch.

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T-Mobile trade in broken damaged devices
T-Mobile may soon start accepting broken devices as trade-ins, but it's not all good news.

According to an alleged internal document seen by The Mobile Report, T-Mobile will in some ways be less stringent with trade-in eligibility requirements going forward. The company usually doesn't accept broken devices as trade-ins, which excludes people with damaged phones from trade-in promos.

 

Starting in October, devices with cracked displays and liquid damage will qualify for trade-in deals, though, of course, they will get reduced trade-in value compared to phones in pristine condition.

The company has, in the past, allowed broken devices to be traded in, but mostly only for entry-level 5G phones. The only exception was a deal on the iPhone 16 and Galaxy S24 in December 2024, where broken devices got the full trade-in value.

After the changes go into effect, phones with damaged displays or liquid damage will get half the usual trade-in value. Devices that don't power on or have Find My activated will not qualify.



The payouts will also depend on the plan. It looks like customers on the most premium plan, Experience Beyond, will fall into Tier 1, and they will get the highest trade-in values.  Experience More customers will presumably be Tier 2, and they will receive a lower-value trade-in credit.

In a departure from current practices, it looks like devices not explicitly listed as eligible may also qualify for a trade-in. T-Mobile will determine whether an unlisted device counts towards a trade-in by assessing its trade-in value.

The internal memo also says that a broken device that a customer is turning in must have been active on T-Mobile's network for at least 30 days within the last 12 months.

What do you think of T-Mobile's new trade-in requirements?

Good move.
11.31%
Could have been better without the 30-day restriction.
21.2%
Seems like another way to make people move to new plans.
67.49%

This move is seemingly intended to ensure customers own the devices they intend to trade in. However, it's usual to have old phones lying around that aren't on any plan. Also, some people buy cheap and damaged devices for the sole purpose of benefiting from trade-in promos.

T-Mobile's rivals AT&T and Verizon have been accepting broken trade-ins for a while.


Most Verizon promos allow broken trade-ins and sometimes even give the full value towards the new phone. However, Verizon needs trade-in phones to have been used in its network for 60 days. AT&T accepts broken devices so long as their market value is above a certain threshold. 

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While T-Mobile will still lag behind its competitors in this regard, the new trade-in criteria are at least a start.


T-Mobile will launch promos for the Pixel 9 and Pixel 10 and Motorola flagships that will accept damaged trade-ins on October 2. Customers who hand in devices in good condition will save up to $1,000, while those with broken devices will get a discount of up to $500.

While T-Mobile is relaxing the trade-in requirements to make it easier for more of its customers to upgrade, the network usage requirement might be a deterrent for some. There's no telling if the company will expand this requirement to good-quality trade-ins as well, which is bound to upset many users. Similarly, giving higher discounts to those on premium plans looks like another step to lure people toward pricier plans.

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