AT&T increasing early termination fee to $325

Fri, 21/05/2010 - 4:05pm — CellAdmin

Considering a new smartphone contract and new phone with AT&T? Well, don’t even think about trying to end your contract early as the Early Termination Fee (ETF) is about to sky rocket.

Currently AT&T charge $175 for ETF, but from June 1 it is being increased to $325 for smartphones regardless of whether you are a new subscriber or renewing your contract.

The Wall Street Journal first broke news of the change, but dallasnews.com managed to talk with AT&T spokesman Mark Siegel who explained the decision:

The idea is, that if you spend less on a device, your early termination fee should be less. If you spend more, your early termination fee should be more. This move is unrelated to any device announcement or future plans.

Although AT&T remains $25 cheaper than Verizon’s ETF price, both companies may face questions from the FCC who has noted the fees are both “substantial” and increasing.

Source: (www.geek.com)