Under T-Mobile’s new setup, subscribers can purchase handsets by making a relatively small up-front payment and then paying the remaining cost of the phone over the following 24 months. For example, Apple’s iPhone 5 costs $99 down followed by 24 monthly payments of $20. While customers do not need to sign a standard contract committing them to T-Mobile’s wireless service for two years, they do have to sign an agreement taking responsibility for full equipment costs.
Charging $(24×20) + $99 = $579 for an IPhone when you can get a decent tablet with a bigger screen and similar features for under $200 is ridiculous. It amazes me how people will complain when gas goes up a nickel a gallon but don’t think twice about over paying for cell phones by hundreds of dollars.