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T-Mobile initiates per-message SMS rate hike

Here we go again. T-Mobile has just quietly announced that they will be raising their per-message SMS fees to 20 cents from the current 15 cent benchmark effective August 29th. Sure, they’re merely responding to the current industry average price, but when you’re hailed as one of the most value-oriented carriers in the country, a move like this could have some pretty negative implications. Of course, this raises the age old question for T-Mobile subscribers looking for a back door out of their contract: will I be able to leave without incurring an ETF? This all depends on who you talk to, but these rate hikes are generally seen as material breaches of contract on the carrier side which, assuming you push hard enough, will usually result in an ETF-free departure. As always, we don’t advocate this sort of buffoonery, but if you’ve been itching to try out another carrier’s airwaves, this might be the right time to step up to the plate. Oh, and nice timing T-Mobile. No one was hoping for an added incentive to shift over to the iPhone 3G’s network of choice.

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57 comment(s) for this post.

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  1. On Jun 30, 2008 @ 4:27 pm, David Said:

    Here is a step by step guide I put togther on how to cancel your account.

    Please note this is only valid for people who do not have a messaging plan. If you pay for a bundled messaging add-on you can not use the increase as a reason for breaking the contract since the increase does not affect you. This is also only valid for people not worried about losing your current phone number. If want to keep the phone number you will have to do some more hagling with the CR you talk to.

    1. This step is very important. If you have not sent or received a SMS message within the past three months send a SMS message to your T-Mobile phone now. If you try this without having a recent text message on your account. T-Mobile will deny your request stating that the change will not affect you since you do not use text messaing.

    2. Log into your T-Mobile account at http://www.t-mobile.com/. Click on Billing, then Current Usage. Verify you see the SMS Text message. If you do not see a message wait a few hours and check back. Based upon my experience the site updates a few times per day. If you do not see the message the CR will not see it.

    3. Call T-Mobile’s main support number at 1-800-937-8997. When prompted by the automated system say “Cancel my Account”. This should send you to the right department.

    4. When the customer service (CR) person asks why you are calling say, ” I want to cancel my account. I was notified today that the SMS messaging rate will be increasing from $.10 to $.20. on 8/29.” Some CRs seem to know about this and others don’t. They may put your on hold and verify the change.

    5. The CR will probably come back and offer you incentives to keep your contract. Deny all offers.

    6. If you haven’t used text messaging within the past 3 months the CR will say the change doesn’t affect you and you will need to pay the ETF. Tell them you sent/received a text message today and it will affect you. Tell them to check your recent activity.

    7. The CR may say the change doesn’t take effect until 8/29. Quote T-Mobile’s Terms of Service here. Tell the CR that according to the ToS you must cancel within 14 days of receiving the notification. If they argue over this point or any other point simply read the following exerpt from the ToS

    Section 3:
    IF WE MODIFY A MATERIAL TERM OF OUR AGREEMENT WITH YOU AND THE MODIFICATION WOULD BE MATERIALLY ADVERSE TO YOU, WE WILL NOTIFY YOU OF THE INCREASE OR MODIFICATION AND YOU CAN CANCEL THAT SERVICE WITHOUT PAYING A CANCELLATION FEE (WHICH IS YOUR ONLY REMEDY) BY FOLLOWING THE CANCELLATION INSTRUCTIONS IN THE NOTICE. IF YOU DO NOT CANCEL YOUR SERVICE BY FOLLOWING THOSE INSTRUCTIONS, OR YOU OTHERWISE ACCEPT THE CHANGE, THEN YOU AGREE TO THE INCREASE OR MODIFICATION, EVEN IF YOU PAID FOR SERVICE IN ADVANCE. IF THE NOTICE DOES NOT SAY HOW LONG YOU HAVE TO CANCEL, THEN IT IS WITHIN 14 DAYS AFTER THE DATE OF THE NOTICE, UNLESS A LONGER PERIOD IS REQUIRED BY LAW.

    7. The CR should then put you on hold to cancel the account.

    8. Once done log back into your T-Mobile account at http://www.t-mobile.com/. You should not be able to view any current details or current plan details.

    9. If you can not get anywhere with the CR ask to speak to a manager or hang up and call again to get another CR.

    10. If all else fails tell the CR you will file a report with the FCC and fill out the form located at http://esupport.fcc.gov/complaints.htm. Most of the time filling out this form will result in swift action by the service provider.

    In my case I contact support early in the day and requested the cancellation. Since I hadn’t used text messaging in the past three months the CR told me I would have to pay the ETF. This CR knew about the change and was very friendly about it. He told me to just send a new text to my phone and wait a few hours and call back. I sent the text and waited until it showed on my online account manger. The second CR had no idea about the change and it required a lot of prodding on my part to get him to cancel it. Getting a good CR is just the luck of the draw. The process can be very easy or very difficult based on the CR you talk to.

    http://www.digitaljargon.com

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  2. On Jun 30, 2008 @ 4:37 pm, Whoisyourdaddy Said:

    like .05 cent increase is that expensive

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  3. On Jun 30, 2008 @ 4:40 pm, SB Said:

    Why would one want to cancel Tmobile account and move to AtT just because the cost of SMS went up by $0.05?

    I looked last week at the cost of AtT plans to see if a move was justified and concluded that my monthly phone bill would increase for the same # of minutes, text and data plan combo.

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  4. On Jun 30, 2008 @ 4:47 pm, 1adonis1 Said:

    Ouch! Guess they are trying to force sms plans on people.

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  5. On Jun 30, 2008 @ 4:55 pm, champ22 Said:

    BG please keep us posted! i wait to leave sprint but i just need a reason.

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  6. On Jun 30, 2008 @ 5:05 pm, Perspective Said:

    SB: Great response to a point that wasn’t made. The blog entry didn’t say someone should switch because of this, but rather that this would be an added incentive for someone who perhaps was already considering a switch.

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  7. On Jun 30, 2008 @ 5:19 pm, Queen4111 Said:

    To: champ22

    Sprint made news last summer when it terminated 1,000 subscribers for complaining too much about the service. Roni Singleton, a Sprint representative, says, “They were contacting us, in some cases, 100 times per month. We tried to resolve their issues, but they were still not satisfied, and it gets to the point where you say these customers may be better off somewhere else.”

    If customer service isn’t helpful, file a complaint with your state public utility commission or consumer advocate.

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  8. On Jun 30, 2008 @ 5:26 pm, chuck Said:

    SB, people would want to switch to AT&T because of the iPhone 3G, not because the monthly plan is cheaper.

    T-Mobile is incredibly stupid for making this move at this time.

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  9. On Jun 30, 2008 @ 5:38 pm, Brandon wilson Said:

    lol as long as this doesn’t affect the prepaid sidekick plan i’m good! =)

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  10. On Jun 30, 2008 @ 5:39 pm, Galvatron Said:

    no as stated before its desigh to engourage sms plans

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  11. On Jun 30, 2008 @ 5:51 pm, Joseph Singer Said:

    They’ve upped the cost over 400% over five years!

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  12. On Jun 30, 2008 @ 5:59 pm, gadgetchic Said:

    tmobile is next on the carrier chopping block. they are just not competitive at all.

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  13. On Jun 30, 2008 @ 8:11 pm, Nikolaus Said:

    I agree this move is really dumb. When I was with Sprint it was $.10, then I switched to T-Mo and found out it was $.15. I thought what the heck, because overall the plan I now have is better. Now to hear T-Mo is upping more to $.20, basically making $.40 off of every send & receive is really terrible. Thank God for my BlackBerry with Unlimited Data where I can just use BB Messenger or GTalk. Oh wait, maybe my data plan is next!!

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  14. On Jun 30, 2008 @ 8:13 pm, Jon Said:

    chuck wrote:

    >T-Mobile is incredibly stupid for making this move at this time.

    I couldn’t have said it better. Whoever was the collossal idiot @ T-Mobile who thought it was a good idea to do this NOW, right at iPhone launch should be fired twice for good measure.

    I canned them today thanks to the tip on Slickdeal.net last week. Called them up, gave them the line, and now have 30 days to port out my # to AT&T, $0 ETF, both lines.

    THANK YOU VERY MUCH T-MOBILE. You are fools.


    Also, my company get 20% off all plans & services if I apply my account to their “Sponsorship”. It’ll be $5 less for about the same plan and data. I don’t care about 100 mins diff., plus I get WAY better coverage on the Blue DeathStar.

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  15. On Jun 30, 2008 @ 9:49 pm, Galvatron Said:

    well i don’t use sms si i don’t really care

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  16. On Jun 30, 2008 @ 10:05 pm, ryan Said:

    Will this work if I’m on the $99 unlimited plan??

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  17. On Jun 30, 2008 @ 10:35 pm, john j Said:

    Perspective, you missed his point. He stated that he looked to see if moving would save money and would cost more, not using this as reason to switch. Joshua, here we go again, bashing on T-Mobile when you admit they were one of the last to raise SMS prices or the last. Do you get off onbashing T_Mobile or are you just IGNORANT!?

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  18. On Jun 30, 2008 @ 10:37 pm, john j Said:

    Jon, screw the iPhone! If you read, it says like every one else they raised it to 20 whole cents. How many people here do not already have a messaging bundle makes this STUPID?!

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  19. On Jun 30, 2008 @ 10:38 pm, john j Said:

    ryan, you already have unlimited SMS then!

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  20. On Jun 30, 2008 @ 10:39 pm, john j Said:

    gadgetchic, do you have tmobile, if not how the heck would you know??

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  21. On Jun 30, 2008 @ 10:43 pm, john j Said:

    David, this will not work! Come on do you believe everything you read on the internet?? These sites are only asgood as their writers and informants, thus this site is lacking, especially with this JACKASS Joshua Krap!!

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  22. On Jun 30, 2008 @ 10:48 pm, gadgetchic Said:

    yes i had tmobile i had a sidekick 3 for over a year and i hated the service.

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  23. On Jun 30, 2008 @ 11:00 pm, T-MOBILE GUY BC01 Said:

    If you use text messaging and not have a text messaging package then you are an idiot! NO ONE THAT TEXT LEAVES THE STORE WITHOUT A MESSAGING PACKAGE! I work there so i know! the ones that text maybe 5 times a day then WOW a whooolee dollar! whoever changes because of that is a cheap ass and t mobile does not want you because you are probably one of those annoying customers that complains about every single thing, WE ARE BETTER OFF WITHOUT YOU, go give another company the headache of dealing with you.

    To those who are still reading, THE IPHONE COMPLETELY SUCKS ASS!

    1. it cant even send MMS messages, SOMETHING EVEN A FREE PHONE CAN DO!

    2. IT HAS NO VOICE DIALING! LOL

    3. IT CANT EVEN COPY AND PASTE!

    4. NO VIDEO

    5. NO FLASH! HAHA

    6. YOU CANT EVEN REPLACE THE BATTERY!

    WHY WOULD ANYONE WANT A PHONE THAT THEY HAVE TO PAY $30 FOR INTERNET, PAY MORE TO BE WITH AT&T AND NOT EVEN BE ABLE TO DO BASIC THINGS THAT A FREE PHONE NOW DAYS CAN DO!

    IF YOU ARE ONE OF THOSE PEOPLE YOU ARE AN IDIOT AND ARE GETTING JACKED!

    PEACE IM OUTTA HERE!

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  24. On Jun 30, 2008 @ 11:02 pm, BJsGuess Said:

    This method will work fine. It has been done numerous times by numerous people.

    Possible reasons for wanting to leave:

    1. Switch carriers. There are better deals - like Sprint’s SERO plan. Or you could be searching for a better phone - which can be had on just about any other carrier.

    2. Transfer to a prepaid and then sign up again with T-Mobile. Why do this? Get a new phone now with the full subsidy. Sell your old phone (or if you like your old phone sell the new one). You can make a few hundred dollars off selling the right phone.

    3. Just to get out of a contract. You can play the field waiting for the next latest and greatest deal. The Diamond and Pro are coming out soon. Might want to see carrier options and pricing.

    Anyway, just a couple reasons why someone might want to opt out of their contract.

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  25. On Jun 30, 2008 @ 11:04 pm, T-MOBILE GUY BC01 Said:

    5 TIMES A MONTH I MEAN*

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