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No More Two Year Contracts For AT&T Users – Plans End 8th January, 2016


For users who are interested to sign up for AT&T for their two year contracts, there is bad news.

AT&T is also ending their association with the two year plans that it offers and this will be effective from 8th January, 2016.

This might be a new way to welcome the new year, but what are the business strategies behind this major change?

A spokesperson from the telecom titan spoke about this on NBC. AT&T intends to do away with the two year subscriptions and will offer a new program in place that they have termed as ‘Next 18’.

The company held on to this two year plan for a long time even after its contemporaries like Sprint, T-Mobile and Verizon gave up on the plans.

As a result the company was able to get the support of at least those from the other companies who wanted a two year plan, but apparently, this last resource will be shut down as well.

This raises a question of whether people will be satisfied with this Next 18 plan.

The Next 18 plan from AT&T will be convenient as well. When you are under a contract, you must buy a phone.

You may either pay for the phone in one go or you would need to pay the installments.

The Next 18 plan will allow users to buy iPhones at the rate of $27.09 per month.

This rate will be payable for a period of at least two years before you can be free of the pay cycle, but if you like a new phone before that, you can return your old one when it is about 18 months old and then upgrade to a new one.

The plan is better than the standard two year contract. This is because the previous plan allowed you to buy the phone and keep it for two years.

Even after the payments were cleared, you would still need to keep paying the same rate for the plan only, till you upgraded to the new phone.

With Next 18, as soon as the loan for the mobile phone is taken care of, the amount you pay for the plan only becomes considerably low.

It would be AT&T’s discretion to decide which customers will be able to get a phone replacement while their term is still on at $0 down payment.

Selections will be made on previous financial track records and you will be marked as qualified or non qualified on the basis of the same.