MobileRead Forums - View Single Post - What is the catch with this one penny iPhone from Target?

jswinden · 12-25-2016, 09:39 AM

There is no such thing as a cellular provider selling you a brand new model iPhone for one penny, or $100, or even giving it to you. The catch is you will pay for the iPhone over the course of the two year contract, and you might even pay interest on it too! Most major American cellular providers have contracts that even a lawyer would cringe at. So many gotchas are buried in those contracts that you likely won't know what truck ran over you! Here is some of what you can expect, though contracts can vary greatly:

$40 activation fee (they flip a switch in there software)
You will pay at least full market price for iPhone over the two years you have the contract
Higher rates on cellular services
Plenty of hidden fees and possibly some bogus taxes
Two year contract with early cancellation fees (probably at least $20/mo for every month left on contract)

Bottom line is you should never misinterpret the phrase "get an iPhone for one penny" as meaning you actually buy it for one penny. They are merely extending a loan to you to buy the iPhone over the next two years. So "get" does not mean "buy". But "get" probably does translate into "bend over and get $%^&@#".

12-25-2016, 09:39 AM	#6
jswinden Nameless Being	There is no such thing as a cellular provider selling you a brand new model iPhone for one penny, or $100, or even giving it to you. The catch is you will pay for the iPhone over the course of the two year contract, and you might even pay interest on it too! Most major American cellular providers have contracts that even a lawyer would cringe at. So many gotchas are buried in those contracts that you likely won't know what truck ran over you! Here is some of what you can expect, though contracts can vary greatly: $40 activation fee (they flip a switch in there software) You will pay at least full market price for iPhone over the two years you have the contract Higher rates on cellular services Plenty of hidden fees and possibly some bogus taxes Two year contract with early cancellation fees (probably at least $20/mo for every month left on contract) Bottom line is you should never misinterpret the phrase "get an iPhone for one penny" as meaning you actually buy it for one penny. They are merely extending a loan to you to buy the iPhone over the next two years. So "get" does not mean "buy". But "get" probably does translate into "bend over and get $%^&@#". Last edited by jswinden; 12-25-2016 at 09:45 AM.