T-Mobile’s JUMP! Upgrade Program, Just How Good Of A Deal Is It?

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Note: The $10 monthly fee includes T-Mobile’s PHP insurance plan which makes it a good deal financially, but the real question remains the JUMP! upgrade timeframe. The $8 PHP bundle includes Insurance and Extended Warranty protection. Next business day shipping is included on all replacements. There are $20, $50, $100, $150 or $175 deductible tiers depending on the device using insurance. 

JUMP! certainly caught all of our attention yesterday as it’s definitely a “bold” move by T-Mobile. Is it their Boldest move ever? I’m not so sure and before we can run and call JUMP! a true game-changer as we need to dissect it and see just who can benefit from it and at what cost.

The question of whether or not the $10 per month for JUMP! is worth it for you is ultimately going to depend on what kind of a user you are. Do you need the latest phone the minute it hits store shelves? Then JUMP! might be for you? Do you want the iPhone 5 today but the next-gen iPhone six months from now after it releases later this year?

Let’s take the iPhone 5 as an example and say you pay the $145.99 down and then six months of monthly payments at $21 each month. That’s $272 after six months of ownership, and now lets add in the six months of JUMP!. Your total ownership over six months is now $332. That’s a little over half the total cost of the full retail price of the device.

So what happens when you JUMP!? T-Mobile takes your existing payments and wipes the leftover payments clean. You start from scratch in a way. There’s no real discount on the new device other than the new customer price, and you’re going to again use whatever financing program T-Mobile has in action for the new iPhone. But what about your $332 that you’ve already spent? Well, you’ve spent it on a phone you no longer own, can’t offer to anyone else to use and will never see it again. This where the “starting over as a new customer” line comes into play. In other words you can’t sell the old phone to help pay for the new one.

At the six month period you’ll trade-in your existing iPhone 5 for the iPhone 5S/6/whatevernameApplecallsit and you’ll do it over all over again. Let’s just say for arguments sake that T-Mobile leaves the cost the same and you’ll spend another $332 over the second set of six months in a 12-month period. Now you’ve spent $664 dollars, or $14 more than the total retail value of a 16GB iPhone 5 at $649 and you still don’t own the phone yet.

So, I look at JUMP! in a way like leasing a car, if you want to look at a car as an investment than JUMP! probably isn’t the right path for you. However, if you don’t mind switching phones out every six months and don’t have any concerns about not literally “owning” each device than JUMP! may be exactly what you need.

Now, what happens if you don’t want to upgrade every six months but want to use JUMP! anyway? Let’s now say you’ve gone 10 months with the iPhone 5. Now you’ve spent $456 dollars toward the full price of the iPhone 5 when you consider 10 months at $10 for JUMP! = $100. Ten months of $21 monthly installments = $210 and then the $146 price for the down payment. BTW, I’m rounding up for arguments sake. Now you’re only $193 dollars away from what would be the total cost of the iPhone 5 at $649. Of course that number is boosted because of the extra $100 on JUMP! but the opportunity cost of JUMP! seems to be minimized the longer you wait to upgrade. If you wait longer than 10-12 months without upgrading than I would probably say to ignore JUMP! and keep on keeping on.

Now, I could do the math any number of ways and I could check the total cost of buying a phone outright, only one upgrade a year etc but I’ll let you guys handle the different scenarios. The bottom line is that no matter how you slice it, T-Mobile’s upgrade process still appears to be far less expensive than that of AT&T or Verizon if you chose to upgrade every six months with comparable service on either of the two giant carriers.

The real issue here seems to be at what point you take advantage of JUMP!, because in my eyes the earlier the better. As soon as the sixth or seventh month strikes on the calendar, upgrade, upgrade, upgrade. There’s a good chance something new will be on store shelves at that point anyway that might entice you. If you have no qualms about physically owning the device after making the monthly installment payments than JUMP! is for you.

T-Mobile’s real target here seems to be the early adopter, the influencers, the high-value customers that has long found the smartphone selection of AT&T and Verizon (and data speeds) far better than that of the number four carrier. Now that T-Mobile is doing something about the phone choices and the data speed and cost, they are turning their attention to winning back those customers and JUMP! may be the first in what appears to be many salvos geared toward doing exactly that. As T-Mobile CMO Mike Sievert wrote:

“One of the things that really bothers people about two-year upgrade cycles is if they’re an enthusiast of one of these lines, like the Galaxy line or the Sony line, they’ve got to generation skip. And people hate that.”

T-Mobile says JUMP! is listening to the customer and considering the negative feedback from both Verizon and AT&T customers upon learning their upgrade cycle was now 24 months was that of disdain. T-Mobile still has plenty of room for improvement when it comes to battling the coverage stigma which long been one of the biggest thorns in their side. Legere can take as many potshots as Sprint or AT&T as he wants, and companies like RootMetrics can show T-Mobile as gaining significant ground but until the end consumer sees it and tells their friends, there’s still the coverage elephant in the room. Even if T-Mobile were to win over these influencers, or even a minority part of them it might be small ground in terms of overall subscriber growth, but word of mouth from these folks will be worth its weight in gold. Will JUMP! be the conversion tool T-Mobile hopes it will be? Time will tell, but it’s definitely a step in the right direction for a carrier that wants to be the “UNcarrier.” How well it works for you is simply a matter of “when.”

Have you crunched the numbers for JUMP! on your own?

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  • I think I’ll stick to buying new phones outright and selling my old phones or keeping them as a backup rather than jump into JUMP! I’d rather own my device outright and sell it. If it breaks I can still sell it on eBay and recoup some of the costs. If it gets stolen I’m SOL. I think you could get a lot more for a used flagship phone to come out ahead.

    Plus what if that 6 or 7th month comes around and there aren’t any compelling phones you want to upgrade? That would suck.

    • graywolf323

      yeah it’s not as good of a deal for people that just want the iPhone since Apple seems to be sticking to a yearly release unlike the Android manufacturers

      • noc007

        Still there are people out there that just don’t want to mess with having to sell a phone either and have the disposable income where this would work for them as well.

  • Deadeye37

    JUMP! definitely isn’t for me. I like to own my phone and once I replace it, the phone becomes a new entertainment source for my kids. I think its a great way for T-mobile to increase their revenue.

    IMO, JUMP! is for people that upgrade frequently and/or carry handset protection. For a couple bucks more a month, you get JUMP! That makes it more economical for those people.

    What I would really like is for T-mobile to address the 2 big elephants whose names are “No-decent-coverage-outside-of-the-city” and “Edge-data-or-worse-in-too-many-places”

    • Zacamandapio

      Right on the spot.

  • Rob

    for people that buy the insurance, wouldn’t JUMP! be a wash with what they are already paying? You wouldn’t really include that in the price if you’ve been paying that already.

  • fiji7

    I didn’t see anything about this in the article so forgive me if I missed it:
    The $10 includes the cost of PHP. Right now customers are paying 7.99 or 11.99 (for the highest end devices). JUMP will include this cost. So customers will either be paying $2 more, or $2 less depending on which handset they have.
    For at least the folks with high end devices this seems like a no brainer. Pay less, and you have the option to upgrade your phone sooner if you choose to.

  • Jim

    What about the cost of the PHP package? On the Premier phones (Galaxy s4, HTC One, Iphone 5) the PHP package was $11.99/mth and that did NOT include Mobile Security (additonal $4/mth). You’re now getting all of the above PLUS JUMP for $10/mth. So, on the high end phones, you’d actually be saving money each month by joining the JUMP program. 70% of customers decide to add PHP onto their phones anyway, so it would only be an additional $2/mth if you choose not to get a premier device. The numbers aren’t nearly as staggering as you’ve made them.

    • Robert

      I’ve read comments sayign 60% and you are sayign 70%. Do you know where these numbers are coming from by chance? They have me curious.

    • kalel33

      I wonder why T-mobile is so much more expensive than the other carriers on insurance. The TEC(extended warranty and PHP) with Verizon is $6.99 a month on a Galaxy S4 or Note 2 and the replacement fee is $99. With T-mobile it’s $11.99 a month and $175 for a replacement but they both use Asurion.

      • noc007

        I’m going to take a guess here. Insurance rates in general are lower if there are more products bought. VZW has a larger customer base and naturally will have more people sign up for insurance than T-Mobile. Another part I’d guess T-Mobile phones are much easier to get working on another carrier (AT&T or international) so it’s easy to commit insurance fraud. Some VZW can be put on another network (“world phones” in particular) or flashed for another network, but it’s less common.

      • Zacamandapio

        I’m going to take another guess here as well. T-Mobile being a GSM carriers gets people to “loose” their phones faster.

        A lot of people sell them unlocked (craigslist). Make a quick profit while paying a deductible.
        On the other hand, VZW phones aren’t as valuable.

        • kalel33

          It’s a pet peeve of mine and you’re definitely not the only one to do it, but it’s spelled “lose”, not “loose”. Loose means something completely different.

    • D Nice

      Someone finally talking some sense!

  • subifan

    Don’t forget that JUMP in includes insurance. How many people pay for insurance and never end up using it. Take off that $12 dollar for IPhone insurance and add jump instead

  • Nick Cannon

    Man that would suck if you ended up getting a new phone and hated it but don’t have your old one to turn back to. Also I’ve had my GNote 2 for 8 months now and there’s really not anything to upgrade to at this point.

    • thepanttherlady

      Most will realize the error of their ways within the 14 or 30 day cancellation period. Granted, they won’t have their old phone but at least they’ll be able to exchange the device for something else.

  • VG

    Don’t forget: each time you purchase a phone on EIP, you pay sales tax on the entire cost of the phone in addition to the down payment when you make your initial payment. If you live in a high sales tax jurisdiction (NYC has 8.875% sales tax, for example), you need to also consider the cost of the sales tax (which I assume is also non-refundable) when performing calculations.

    • czaplin

      It’s still less than 9.75% in Chicago

  • Forget JUMP, not a good deal. The best deal is a Nexus 4 at $299.

    • Robert Le

      I agree I have a unlocked rooted nexus with LTE and when I sell the phone for the next nexus I would be paying less than the jump plan to upgrade. Watch my video for speed test and how to configure to get lte on tmobile http://www.youtube.com/watch?v=fMbybwiOzzI

    • Frettfreak

      Yeah of you actually want vanilla android and mid range specs. I had one for a few but honestly was all that impressed

    • Felisen

      “Forget JUMP, not a good deal for me. The best deal for me is a Nexus 4 at $299.”

      FTFY.

    • Scott

      While I don’t disagree (I own one), for the typical smartphone-shopping American, the Nexus 4 is a non-starter, and practically was since release.

  • Paul

    I don’t see anything that I’d want to upgrade my Note 2 up to. This isn’t a good deal for me.

    If you stick with midrange phones then this might be a good deal.

    I’ve used the insurance twice since I’ve had it. Worth what I pay. I’d rather sell my old phone, then use that money to finish the payments. Then use whatever is left for a down payment.

    Game-changer = no.
    Some people might benefit though.

    • PHONE_FREAK

      With the Note 2, you are paying the 12$ insurance. So it is possible that you could save money by switching to this. And what about the Note 3 coming at the end of this year? I have the Note 2 and while I love it, I wouldn’t mind upgrading if its worth it.

      • Paul

        I can see your point, but still disagree that it would benefit me. I’m not interested in the note 3, personally, because I’m picky about the specs of my phone. It hasn’t grabbed my interest.

        With that said, I could see this benefiting someone such as yourself who is looking to upgrade more frequently to new devices that come out.

  • Oaden Johnson

    I’d rather just sell my old device and pay full price for anew one like I do now.

    • Scott

      If you replace your device no more than once a year and don’t get any insurance, then it would be roughly a wash at worst.

      However, if you carry anything more than the most basic insurance plan or ever replace your device at any point up to about the 12 month mark, then the JUMP program seems like it would be a better deal.

      If I understand the program correctly (the single biggest problem with this whole thing), you can always drop the program and pay off the device.

  • curlee_three

    I for one would greatly benefit from Jump due to I always place insurance on my phones and I have went from the Note II in November to the HTC ONE in April so on top of being to upgrade twice a year I don’t have to pay off my remaining EIP I can just trade it in and still have the option to use jump or just sell my phone and buy another phone on EIP or out right sounds awesome to me but to each its own!!!!

  • kev2684

    in my opinion you should only get this IF you are already paying insurance through T-Mo OR you do upgrade twice a year. anything less than that would cost you more money than getting it full price up front or over EIP plus a third party insurance. i tried calculating it last night.

    spreadsheet here-> http://goo.gl/aNi1y

  • I love leasing cars but this JUMP idea for phones isn’t my cup-o-joe. I enjoy buying, flipping and rebuying phones to much to JUMP into this new plan.

    Pass.

  • Frettfreak

    See here is the thing, I am pretty much a tech addict. I always want to change my phone about the 6th month. Just to try a one thing new. Usually wait til a year though cause it usually makes more sense.

    Jump is perfect for me anyway. Especially because I pay for insurance on my phones anyway. So it’s literally a $2 increase in payment.

    I was honestly thinking tmo was going to tack the balance of your previous phones on to your account somehow. Kinda like what happens when you reade a car in that you owe more on than what they give you for it. Way to go tmo! Thanks

  • Zacamandapio

    David,
    You forgot to add the $8 PHP bundle to the regular price (assuming you’ve insurance). This would make it a more “fair” comparison.
    Insurance wise you’re only adding $2.00. The $20 is where you are getting rimmed. But that’s if you want to upgrade early.

  • T-Mo1082

    Perception of T-Mobile’s network is their biggest problem. T-Mobile should put in every add something about how their coverage is better or getting better. When I tell my friends anything good about T-Mobile they always bring up the network coverage is bad. Most of the time they are wrong but sometimes when my phone says “No Service” in the DFW metro area its hard to defend T-Mobile.

    • mr64

      I’d really like a list of cities where the service is bad, because in the Louisville Ky, Southern Indiana service is perfect.

  • noc007

    This can be a real cash cow for T-Mobile and even more so if they turn around and sell the used phone. Hopefully they’ll refurb it first so one doesn’t get something that’s been abused hard.

    Still not for me. I get the bug to upgrade about 1-1.5 years. Seeing this year’s offerings and where Android releases have been, I can definitely see people buying a phone last year not being compelled to upgrade this year.

  • Jeff M Grace

    No one seems to be understanding the “JUMP” program.

    Cheaper insurance rate than current by $2 plus or minus

    You can get a new phone 6mo after enrollment in the program .. You don’t have to use your jump status to get a different phone, when you do a trade in of your old phone what you owe in a EIP is wiped clean no matter what is and you qualify for new customer rate. If you paid off all EIP upon trade in you can keep your phone or trade it in.

  • Jeff M Grace

    If you do a jump at 6 mo and you don’t like the phone you got you can do another jump the next day if you wish. But you can’t do another jumps for 6mo if you do both. You trade in if in good condition is used as a open box for a new customer that is how Tmobile gets the return for your trade in.

    • thepanttherlady

      Why wouldn’t you just return/exchange the phone if you don’t like it? Why on God’s green earth would you do another upgrade the next day and pay an additional down payment and taxes on another phone? I’m not sure I understand the logic here.

      • Jeff M Grace

        You are returning the phone you don’t like and getting the other I’m sure they would have a 14day grace period to try it out and do a refund of said taxes and what not , keep in mind that the money you put down on you first jump applies to the new one so unless the second is more pricey is the only way you pay a difference

        • thepanttherlady

          There is a difference between using the 14 or 30 day cancellation period and using your Jump upgrade.

          If you return a phone within the cancellation period determined by your state you will receive a refund of everything paid minus a restocking fee.

          If you choose to use your Jump upgrade the next day, you do not receive any refund (only the remaining EIP will be removed) and you pay an additional down payment and taxes on the new phone.

  • Jeff M Grace

    If trade in is water damages it is a $20-175 deductable depending on phone this only applies if water damage or cracked screen otherwise no charge

  • Jose Hernandez

    David,
    I think we should also keep in mind that if a customer already has the $7.99 PHP plan on their account, the total cost for Jump! would only be $2.00 more a month. If the customer has the higher PHP plan, $12.00 I think, they may be saving some money. The full description stated above, would only apply to customers that do not already have PHP on their plans.

    • Zacamandapio

      Your picture looks creepy.

      But you’re right on the spot.

      • Jose Hernandez

        ouch?

        • Zacamandapio

          It’s a joke. “Take it easy” (Nacho Libre’s Voice)

  • Nathan Aker

    Seems great for android enthusiasts as there is always going to be a better android phone in 6 months because of all the different manufacturers but I don’t see iPhone users caring about this at all since there’s only one new iPhone a year.

    • thepanttherlady

      This would still benefit iPhone users yearly if they’re already paying insurance and utilize the EIP program.

      • Nathan Aker

        I guess since it would only be an extra $2 for them but they wouldn’t be able to take advantage of getting two upgrades in one year.

        • Zacamandapio

          Actually they save $2.00 since their insurance is $11.99.
          Note 2 and iPhone 5 is 11.99.
          All others are $7.99.

  • Gary B

    So this post is a little on the negative nancy side today- did you have your coffee yet? Here’s why its a GREAT value. So you consider the price of $10 into your calculations. BUT considering it already includes $7.99 PHP, its a nominal increase of $2 to reach the $10 JUMP feature. And considering (in my store) that ~75-85% of customers already protect the phone anyway they are already paying the EIP + 8 or 11.99 its a very small increase. So you calculate the extra 2 bucks in over 6 months, which is $12 added for the option to do your upgrade early. That being said, the trade in options with out the JUMP feature always working out to being less value than the remaining EIP options you’d still have to pay off anyway. So when you look at it this way its a tremendious value to a customer even if they wait 15 months instead of every 6. My question (and i will seek clarification from TMO) is if the $10 jump also includes the PHP premium device fee which is a higher amount att 11.99 instead of 7.99. Therefore if the JUMP feature includes premium devices PHP at no extra cost, then you actually save $2 a month, and have a guaranteed even value trade in.
    Basically it adds insurance which helps customers be LESS pissed off when they break the device, allows for less pissed off customers who want the newest phone after 7 months when the new model comes out, and in turn allows for less churn and happier customers, while making additional rev for the company. Again, since like 80ish% of customers choose PHP protection anyway, its really not such a hike in the amount you’d be paying anyway.
    Whoever came up with this is brilliant.
    And stop the negativity. Its a good program which you DONT HAVE to get. Its just an option available for a net $2 increase (considering you get php)

    • thepanttherlady

      Exactly. The sooner everyone realizes this is just another option and no mandatory the sooner we can all get along. :)

  • Brian B

    You completely missed out that JUMP includes PHP bundle, which is 12.99 for iPhone 5. So its actually cheaper as most people get PHP on new high end phones. Also you mention how much the phone is costing the user in full, but no mention of how much cheaper the service is than Verizon or ATT. With the addition of jump and the unlimited data (including the launch of LTE), competitors should be worried. I know TMO doesnt have the best in home coverage, but if they can achieve what they did with LTE in 6 months, I wouldn’t be surprised if the game changes in the near future.

    • Adrayven

      Correct.. This is both extended warranty AND an early upgrade path.

      So if you would normally get the extended warranty, this would be worth it for added benefit.

      • Wait a minute….so someone that will be getting an iPhone 5 w/ PHP anyways will actually save money (monthly) if they enroll in JUMP? That’s actually really cool. I still hate that you never own your phone, but most people do want new phones every year, and enrolling in this will save them $12 per year and give them access to the latest and greatest iPhone/Android every year. Am I right?

        • thepanttherlady

          But you will own the phone if you choose not to continue upgrading. As long as you pay off the EIP, the phone is yours.

        • So JUMP will SAVE money for someone that would otherwise buy an iPhone 5 with PHP? That doesn’t even make sense but I like it.

        • thepanttherlady

          If you’re (or any customer) is paying the $11.99/monthly then yes, you’d be saving $2 a month.

        • Jeff M Grace

          Up to twice a year every 6mo or sooner just up to 2 a year. With the exception of iPhone unless they donasbi have been hearing about release two models a year say 5S and 6 and a line of cheaper iPhones multicolor that they are doing soon

        • Yeah but even upgrading every 12 mos will benefit a person that wants the latest iPhone. This guy in my office ALWAYS buys the latest iPhone and this would save him hundreds of dollars a year since he has to buy the 2nd one at full price each year.

  • Jeff M Grace

    When I have some a trade in before jump take say the $565 cost of one phone and if the other one is more than that i pay the difference and taxes. If the new one is less then that difference gets knocked from amount owed and less EIP mo cost and months . I’m pretty sure jump would work the same way if you did a simultaneous as in say next day exchange . Most managers will wave the restock up to three times

    • thepanttherlady

      I’m going to assume you meant to respond to our conversation below.

      Doing a next day exchange is exactly that, a next day exchange, not a Jump upgrade and yes, some managers will waive the restocking fee but not all will. It is at their discretion.

      Below you stated: “If you do a jump at 6 mo and you don’t like the phone you got you can do another jump the next day if you wish.”

      No sane person would do this.

      • Jeff M Grace

        This is what the CEO others stated in the live event yesterday as a example that it is possible to do next day next month etc… Say you get a windows phone hate it and want a iPhone 6 then you can do so . You are not required to do a 6mo apart jump just twice a year.

        • thepanttherlady

          #done

        • Zacamandapio

          Pulling your hair yet?

        • thepanttherlady

          You’re assuming I had any left to pull. :P

        • Jose Hernandez

          lmol!!!

        • Zacamandapio

          :D
          :D
          :D
          :D

        • $15454173

          Cracking me up again :)

  • Jeff M Grace

    One thing I don’t like is that tmobile CEO John Legere said that you have to wait 6mo after enrollement to do a jump exchange , that would mean unless someone did a exchange before me and they had a refurb I would not a new model just say a galaxy s 4 or Sony Xperia z available Wednesday then you couldn’t get that phone

    • Soruyo

      English please.

  • Jeff M Grace

    Basically the phone might not exist when your 6 mo jump came up. Unless they really intend to have a crap load of refurbs in store

    • Dude, stop making new posts. Just hit the reply under the conversation you’re in.

      • thepanttherlady

        I was just thinking Happy Hour was going to have to start early today. :)

        • Or maybe Happy Hour has already started in some areas.

        • thepanttherlady

          *snorts*

  • Bao Bui

    I took a minute and pondered about this JUMP program… it’s actually a pretty good deal if you’re the type to want to change phones often. Since this program includes PHP, it’s a pretty darn good deal.

  • NuShrike

    Why not just buy the phone outright and then sell it in N months? Does JUMP beat that besides convenience?

    • thepanttherlady

      Factors to consider:

      1. Remaining EIP balance (if you used it to purchase your phone) versus how much you can get for your phone.
      2. If you already pay for PHP you can either save $2 a month or pay $2 more to save for this convenience.

      • Jeff M Grace

        EIP is eliminated when you do a jump exchange

        • thepanttherlady

          And the OP could potentially get more selling the phone and paying the EIP balance off hence a factor to consider when making their decision on which is better.

      • Jeff M Grace

        And then you have a new EIP on new device

  • wazzoman2

    Jump is a good deal firs of all EIP taked 2 monthsto even hit the account from date of purchase and second for an iphone 5 just the iinsurance bundle right now is 11.99 without the opportunity to get a new phone every 6 months so the $10 dosent count anyeays cus your paying for it anyways wether you get it or not. That number they gave was over inflatedby $100
    Source: ive been working at tmobile for over 2 years as a sales rep

  • flan

    Even if they didn’t charge you anything, the $10/month is not really the big factor here. The biggest factor is that they take your old phone and you don’t get a chance to sell it. For a 6-month-old high-end smartphone, you could get some $400 on eBay. You lose the opportunity to make that money back.

    Assuming they’re paying off your $20/month EIP with 18 months left, you’re getting $360 of value from them. In exchange, you’re giving them your phone, which you could have gotten some $400 for, PLUS another $60 of JUMP payments. If you were going to buy insurance anyway, I guess you’ve really only paid an extra $2 a month, or $12.

    Even if you’re an enthusiast who likes to get a new phone every 6 months, if you don’t mind putting forth the effort to sell your phone when you’re done with it, you’re still better off not using JUMP. If you’re someone who doesn’t want to go through the hassle of selling your phone after 6 months, then this is definitely a good plan.

    • wazzoman2

      Jump payments are part of inshurance your alredy paying 12 a month for that so tenicaly your saving money every month and now getting the opertunity to trade it in for 2 a month cheaper

    • flan

      Additionally, the longer you wait, the less EIP they’re forgiving. And in order for you to fully take advantage of this offer, there needs to be a new superphone released every 6 months. That’s not really what happens. You get phones of the same generation released, but new generations come about no more often than once a year. So you might want to hop from an HTC One to a GS4, and yeah, you’re getting a new phone, but you’re not necessarily getting a better phone every 6 months.

      I still love the idea of this plan, don’t get me wrong. The message is great. It’s just that the math doesn’t quite work out for those willing to spend the effort to re-sell their phones.

      • thepanttherlady

        And that’s why I keep saying that this is the most beneficial to customers already paying for insurance. If not, and you don’t upgrade every 6 months you’re paying more for your smartphone than if you’d bought it outright.

        • flan

          Completely agree, but the other point I was making was that even if they charged you nothing for the JUMP plan, the fact that you have to surrender your phone to them alone makes this not worthwhile if you’re the type of person who doesn’t mind the effort of selling your phone on eBay.

        • Tina

          Except that you are already paying for insurance, why not have that option to upgrade if u want. If u want to sell your phone your still free to do so. Since I pay the insurance anyways its no loss to me, only a benefit that if I want a new phone I don’t have to wait. I’m already saving 20 a month from what I was paying Verizon and that’s with a 20 dollar eup payment . winner winner chicken dinner!

        • lifeisgr84all

          Does David pay you to be here?
          You are doing a great job though.

        • Shoot, I barely myself to be here!

        • thepanttherlady

          David who? Bwaahahahahaha!

        • lifeisgr84all

          See you are entertaining too :)

        • lifeisgr84all

          Hey you never know, it was just a thought:)

          She seems very informative

        • thepanttherlady

          No, I volunteered for this abuse. :P

          Thank you for the compliment!

  • Don Kim

    It’s not that complicated.

    With owning your device and going no contract is a smart way to use a phone these days,

    T-Mo lets you grab the latest smartphones at the lowest price, and even let you exchange to a new one with same down payments just 6 months later.

    And you would be either too rich or too stupid not to insure your $600~700 worthy smartphone.

    Insurance + Early Upgrade option. I dig it.

    Downside for T-Mo? There will be cheap asses who will find loop holes to play around with this deal and make dirty money off the grey market.

    • dtam

      how about take care of your phone? am I too stupid to not buy insurance on my phone when it’s $10 a month and if anything happens, I have to pay a $100+ deductible? after 12 months, that’s $220 that could be used to pay off the phone. and if something did happen, I would buy a Google Nexus 4 for $299-349 @ google play store

      I’m not saying buying insurance is stupid, but those of us who don’t have our reasons not to

      • bob90210

        I say insurance for cell phones is stupid and I say people paying for insurance on their phones are too lazy or too stupid to figure out that they are being ripped off (this excludes the people actively breaking or losing their phones).

        • chum lee

          I think insurance, when using the EIP payments, is good for about a year or so. After that, you get diminishing returns.

        • bob90210

          It’s a bad deal even for the first month. You will have paid $187 ($175 deducible + $12 monthly fee) to replace the phone in the first month. That’s about 30% the value of the phone. If your odds of breaking or losing the phone within the first month is less 30% then you paid to much for insurance.

        • mr64

          Its like paying twice as much. Why?

    • mr64

      Isn’t it smarter to buy a nice case for the phone, instead of almost 500.00 for insurance plus the 150.00 deductible? If someone is more careful, you really need neither.

  • Mark

    I’m still on Classic, I tend to be content with the 2-year upgrade cycle, and the only time I bought the insurance (the lowest level) was after a warranty replacement of my old phone, and I didn’t buy it when I upgraded to my One S. So, I’m pretty much the antithesis of the target customer for Jump. My question is, will non-Jump customers also get the new-customer pricing when it comes time to upgrade their phone, or will we be the only ones still paying the higher price?

    • dtam

      There really is no “higher price”. all customers, new and old pay the same price for a phone. the jump program really just forgives the rest of your installment payments by trading in your phone. so say you had a phone with $20 a month installments for 24 months and you broke that phone. you would need to pay the last $240 you owe on the phone but can still get the next gen HTC One for $100 down and $20 a month (or whatever the deal is)

  • Victor A Paulo

    current PHP plan for highend smartphones= $12 monthly and includes insurance, warranty, security
    JUMP=$10 includes all of that PLUS upgrade when you frickin want?! TOUUCHHHDOWNNN!

    • Daniel

      It doesn’t include warranty, but if you plan on trading up every six months it won’t matter too much. I say too much because without warranty coverage from Tmobile you will have to go through the manufacturer which will take longer than the one day Tmobile replacement.

      • low_and_slow

        Yes, it does. JUMP includes the full PHP bundle.

  • Victor A Paulo

    David I usually agree with all your articles but I must respectfully disagree with this one. First off most customers already add insurance to their plans. iphone 5 and note 2 and super phones are at 12.00 a month for PHP. Most new high end smartphones users( which is what Jump is catering to) already pay this much. So basically t-mobile is letting them upgrade twice a year for the same amount of what they already pay! (for those paying $8 for insurance then it’s $2 more…wow.) For those that’s paying 12.00 then it’s 2.00 less and they get this amazing benefit! Im super excited for this! This is going to be huge for T-Mobile

    • lifeisgr84all

      How many of people here have PHP?
      I think this article clearly explains who should go sign up for Jump

      • D_Wall__

        I have it on my Iphone 5. It saved me when i dropped my GS3. As much as i value my mobile device. Insurance is a must. Or a highly rated Case.

        • lifeisgr84all

          Then Jump is for you if you use TM EIP but not a great deal for others who don’t

    • TheCudder

      Then this means T-Mobile needs to reduce the PHP for non-JUMP users. You can’t charge them $10 for PHP a second service, them turn around and charge non-JUMP users $11.99 — otherwise anyone still making handset paymens should be automatically enolled into JUMP just becaue its cheaper.

      • mikey

        I think its all the same now, noticed on my bill my insurance dropped to 7.99 a line this month by itself. They are saving money by using JUMP anyways, since 6 months after a phone comes out they will have refurbished ones to send customers with issues instead of having to send new replacements. And JUMP only works with eip…so thats a reason to get customers with good credit, something for those of use who would actually qualify for contract plans to have over those using prepaid/ high deposit/ no credit check plans.This is GREAT CUSTOMER SERVICE especially for the loyal customers.

      • Stephen Norton

        insurance is going to be 8$ on all devices now. You will have to call to change it once it takes effect on sunday.

  • VG

    Does this mean that T-Mobile will be able to sell refurbished iPhones that have been previously turned in via the JUMP program? Is this a first?

    • bob90210

      I doubt it. Used phones would complete with the high margins of new phones. I suspect T-Mobile is sending Asurion the used phones in exchange for lower costs on the insurance.

      • VG

        But didn’t Legere say that customers would be able to purchase a refurbished phone through EIP and participate in the JUMP program with that purchase? It sounded like T-Mobile was going to build up inventory of refurbished phones for resale (and perhaps’s take some business away from eBay and similar web sites). Did anybody else get this impression from yesterday’s presentation?

  • JUMPFinePrint

    I think people missed a VERY important piece of the JUMP program rules:
    Buy a new smartphone on a Simple Choice Plan using our Equipment Installment Program. (Directly from the T-Mobile Website) or this line from Davids article under: Who Can Enroll: All existing customers with an open EIP agreement.
    So if I’m reading that, I’m not able to join the JUMP program because my NOTE 2 is bought/owned outright, and not part of any payment agreement in the T-Mobile EIP program.

    It appears you must of purchased your phone with their EIP agreement, and currently still be making payments on it.

    For those of us who bought our devices outright, it appears T-Mobile ha excluded us from this program from the very beginning.

    Anyone else read the rules that way, or have another take on those ‘fine print’ points?

    • bob90210

      The Jump program only makes sense if you have an EIP and make the minimum payments. If bought your phone outright, just sell your phone to buy a new one. Why would you pay an extra fee so that T-mobile will take your phone in exchange for the remaining balance on the EIP? Since you have no EIP you would give your phone to T-Mobile.

      • JUMPFinePrint

        Bob90210,

        I’m not debating the merits of if the program makes sense. I am raising the point of: There appears to be a rule from T-Mobile that you cannot even sign up for the JUMP program unless you are making payments on the phone with an EIP agreement.

        If that is indeed how the wordings of the rules are, it really makes mute the point to argue the merits of joining the program if you have paid cash outright for your phone, or paid it off already and no longer under an EIP agreement.

        I’m not even sure if you owned your phone outright, if you could give it to T-Mobile in order to purchase a new phone. What would be the point of that? There’s nothing stopping someone who owns a phone outright, right now, from purchasing a new phone with T-Mobile.

        • ShermCraig

          Sorry – it’s moot – not mute.

        • mikey

          Jump makes it pointless to buy a phone outright. Essentially almost everyone changes phones every 2 years or sooner anyways, some people do it every year or sooner. This program enables you to do just that without having to sell or pay an arm and a leg for a new one.. The eternal $20 a month that never goes away is nothing….lol..remember when tmobile had contracts each line was essentially 20 more a month than it is now anyways. So if i decided to get new phones every 6 months thats great. Im only paying a hundred or so each upgrade, and still paying the same amount monthly my bill was last year before the uncarrier plans. Heck last year it was 2-300 for a decent upgrade every 2 years and 20 more a month. Now i can pay 2 – 300 and have 2 phones in two years for the same price, or add alittle more and get 3 or 4 different phones in that same period of time.

        • just me

          I don’t get what you’re saying. You’re right, there IS no merit in joining the program if you already paid off your phone. That’s WHY the requirement for EIP is in place. Of course if you want to join JUMP, you still can, since you can buy a new phone any time on EIP and add JUMP on right then.

    • just me

      Wow. So you want to buy your phones outright without EIP AND join JUMP? You are one awesome customer. I’m sorry you’re “excluded” from doing that… But, if you want to give Tmobile extra money for nothing, you can just add on more data and then not use it. That would accomplish the same thing. Hope this helps!

      • mikey

        lol. I know right. If you buy your phones without eip, then just buy a new phone every six months and sell the old one.

      • JUMPFinePrint

        I have no intentions of joining JUMP, and never said I was. I was only commenting on the conversations about the program and items I noticed. I buy my phones full price for cash, and often times keep them for more then 2 years.

        It seems most of the people here do buy their phones full price with cash, thus the bringing up of the details of being on EIP, etc.

        I’m in the ‘Not for me’ crowd on this new program. For some people it will be awesome, but for me, I’ll pass.

    • Stephen Norton

      That is correct. But why would you want to pay extra if you already paid for your phone? Just buy a new phone with EIP and you will eligible.

  • thepanttherlady

    wazzoman2 brought up a good point. @davidtmonews:disqus or any T-Mobile reps that can answer this, I’d be appreciative:

    A new EIP doesn’t hit your account until 2 months after purchase. If a customer upgrades at 6 months on this program, they’ve only effectively paid 4 months of EIP at that point. Is T-Mobile going to be moving up the EIP’s to the customer’s next billing cycle (and perhaps prorating the portion from time of purchase to billing cycle) or will it remain the same?

    Also, when a customer upgrades will the EIP balance be removed effective the date of transaction?

    • Stephen Norton

      Not that I am aware of. The current EIP program is to remain the same.

    • asmidnightfalls

      According to our internal info, no, the eip takes awhile for the system to recognize when it’s taken into effect. Maybe a longer cutoff date for new customers? Good question though.

  • Bklynman

    If I understand this right,for jump,you can’t buy your phone out right. You have to have payments on it
    is that correct? You can’t get the coverage for $10. yes or no.

    • TheCudder

      It wouldn’t make any sense to buy the phone outright in addition to paying $10 a month for JUMP. This is meant to work similar to leasing a car.

      • thepanttherlady

        I agree that it wouldn’t make sense but if the OP is just trying to save a couple of bucks a month on their insurance, he could purchase his device using the EIP and then just pay off the balance immediately.

        • just me

          Actually, although it’s been lost with all this jump news, starting on the 14th tmo’s new insurance provider is assurant, who has a cheaper premium. That’s why JUMP is cheaper. It also means anyone getting a “premium” device can just the insurance/extended warranty for 8 bucks a month. Premiums for damaged or lost devices remains the same.

        • just me

          *deductibles remain the same

        • Stephen Norton

          That isn’t true. All insurance plans are going to be 8$ per month now.

  • Harris_Burgh

    The cost of JUMP! Is really only $2 a month since the PHP amount is $8. Most smartphone users will already have PHP, so it is only a $2 increase. Good explanation, but check your math.

    • Chilehead

      t-Mo’s Premium PHP insurance for iPhone 5, GS4 and HTC One is actually $11.99 so JUMP! is actually cheaper for some of us.

  • Jared Cobbs

    What this basically comes down to for power users like myself is the remaining balance on your EIP vs how much you can get for a phone. Ebay comes with fees you have to pay so factor that in when you’re thinking of selling through them. I never use them though, I prefer craigslist when I play the grey market. The price for a phone after 6 months is usually around 350-400 sometimes a little higher if there’s no successor/worthy competitor on the horizon. And that’s for popular devices.

    You also have to factor in sales tax and whether or not you already pay for insurance. For me personally if I were to do this for a 600$ phone (about 660 after tax) and pay EIP for 6 months my remaining balance would be 441$ (if my down payment was 99$). I normally sell my phone to pay for the next anyway (you get two claims on insurance per 12 month period). Trading it in to pay off my remaining balance seems a decent trade and you still “own” your phone…

    • mikey

      Not to mention they blacklist phones imei now that are reported lost or stolen, so as time goes on less ppl will be buying phones from others online, since they cannot be guaranteed to be clean and clear.

  • $15454173

    The fact that I have the freedom do something even if I choose not to is a good thing. For that I am glad T-Mobile is adding more choices.

  • mikey

    The amount the JUMP service costs is negligible in all point of views…. I mean
    its stupid for anyone not to have insurance on their phone, so you’re
    only paying an extra $2 to have JUMP, since regular insurance is 7.99.
    Plus The same price you would pay to own one phone you can pay to have
    two different phones in one year. example if you buy a Xperia Z cash its
    $580 before tax, if you do eip with jump you pay 99 then 20 a month
    for 6 months which is 120, so you’re pay approx. 220 to have it for six
    months, then an estimated 220 more to have a different phone the next
    six months, so the 440 a year before tax. SO even if its $60 in taxes at
    each phones purchase by using JUMP you would only spend $560 vs the
    $640 buying a phone outright after taxes. Who cares if you have to trade in your old one, if you sell your old one you wouldn’t have it anyways. And you get 2 phones in one year without the headache of having to sell your old phone. So yeah it is a good deal.

    • kpb321

      I’m sure insurance makes sense for some people but I don’t think it’s fair to say it’s stupid not to have insurance. My wife and I have something like 20 years of collective cell phone ownership and we have never lost or broken our cell phones. In the end we actually still have all the cell phones we’ve used because we’ve never bothered to sell them when we finally upgraded. Yeah I know we still could end up breaking or loosing one of our current cell phones but we sure would have paid more in insurance over all these years than we would have to pay for a new phone if we happen to break one of our phones in the future.

      If you have a history of breaking/loosing phones and would want PHP anyway then yes JUMP is very cheap for getting the option to upgrade your phone early with out having to claim you lost/broke your phone for the PHP plan.

      • mikey

        Well thats the same argument you can make about any type of insurance. It’s there INCASE you need it. It saves you from paying full price if you wreck your car, or your house burns down, likewise if you damage or loose a $600 phone. Otherwise if you drop and crack your screen and it won’t turn on then you have to pay full price for another phone, versus just paying a deductible thats alot cheaper. Just because something hasnt happened doesn’t mean it wont. Thats like saying since you never been in a car wreck you don’t need car insurance.

        • kpb321

          True but there are also a lot of difference. For one car insurance is required by law in most states and where it isn’t you have to be able to prove you are basically rich and could actually afford worst case type scenario if you did get into an accident. The potential loss is also much much higher as you could end up injuring or killing someone else or hitting a much more expensive car than you drive.

          Our history with cell phones suggests that we aren’t likely to need insurance and I see it more like buying insurance for your home appliances or a protection plan for an electric razor. Ultimately the insurance company is making money off the plans so you are betting you will be on the unlucky side so it will pay off for you personally.

        • mikey

          Well….lets say you never break your phone, but you have a samsung galaxy 2 that you have used for 13 months, youre now out of the manufacturer warranty, and your power button sticks so it keeps making your phone turn off or some other issue occurs. No insurance means after a year no warranty, with insurance, 144 for a year, you pay a 5 or 10 dollar warranty fee, get a replacement sent no problem.

          My main point is phones as the mini computers they have become, and the daily use they endure, do require insurance, even after paying two years you still get a replacement for cheaper than what you originally spent on the phone, and if its no longer current you get a similar newer phone at no additional charge. I’ve always used insurance, if not for theft or break, for warranty. But either way it pays off

        • bob90210

          So you think $144 for a $300 (used phone again!) on the chance that there’s a manufacturing defect that shows up after a year is a good deal?

          You’re right, it does pay off. For the insurance companies.

        • mikey

          Yes i do think its a deal, lol, yours was used anyways right? Right. But to each their own, thats why they let ppl opt out, if you feel lucky, then dont get it.

        • bob90210

          The insurance company will send you a new used phone as a replacement so you use the used phone price for comparison.

          Losing or breaking a phone is unlucky. Winning a free phone is lucky. Not losing nor breaking your phone just is.

        • kpb321

          Again that is where my experience and expectations are different from yours. I haven’t once had to repair or replace a cell phone early for any reason be it lost, damaged, broken, stolen, etc. As it is my current phone is going on 3 years old and still works fine and the only reason I expect to replace it soon is that I will be getting an iPhone for my work phone.

          Simple statistics says your experience has to be the exception rather than the rule. The companies have to be making money off these plans or they’d be increasing the cost or going out of business. As such the only way it ends up being a good deal for you individually is if you have worse luck than the averages and need more device replacements than the averages say you should otherwise the insurance company wouldn’t be making any money off of anyone.

        • bob90210

          All insurance is expensive in the sense that you will likely pay more than you will collect (that’s how companies make money). So, as a general rule, avoid insurance if you don’t need it (who wants to deal with insurance agents voluntarily, anyway). However, insurance is a good idea if you can’t afford the replacement and opportunity cost of damaged or destroyed house or car, then get the insurance.

          Insurance for phones, however, is stupid. The monthly fee and deductible is very high relative to what it covers. Just put the 8-12 dollars a month in a rainy day fund and buy a used phone in case anything happens. You will come out ahead.

        • mikey

          12 dollars a month in 6 months is $72. Okay if you get a phone on eip, loose it after 6 months, you end up with 18 months left on eip or around $360 left to pay it off. If you have insurance you get a new phone for $150 deductible, so that means you paid 150 plus the 72 for 6 mths of insurance thats 222. Now without insurance you would either have to buy another phone outright, at 580 for same phone, and still owe that $360 eip or pay the $360 eip and put another $100 downpayment on a phone, which comes to 460.

          So which is stupid, being able to get the same phone as a replacement for only $222 after 6 months, or paying $580 or $460 in addition to still making eip payments either way. Insurance makes it cheaper.

        • bob90210

          Paying $72 for the right to pay $175 (the deductible for a S4 or HTC One) for a $400 phone (did you forget that you will receive a used phone from the insurance company) in case you break it in 6 months is stupid. Seriously, do you really think you will make a claim in the first 6 months? How many people do you know that needed a replacement after 6 months? It’s a lot few than the number of people that still have their phones.

          Oh, remember to cancel the insurance after your claim. Otherwise you will pay $1063 for two phones in two years. That’s still more than $1000 for two phones if you simply buy a replacement phone.

        • mikey

          Actually alot of ppl do, I see more ppl break phones when they are newer than they do when they have had them for awhile. I work in the cell phone industry, you would be surprised at how many ppl dont buy insurance, break their phone within the remorse period and try to return it

        • bob90210

          I’m sure many people break their phones early and you probably do see many of them.

          But you probably don’t see the many more people who don’t break their phones since their phone are not broken!

        • mikey

          lol. You are probably right, but alot of those who actually use eip and dont break their phones always try to trade in their old phone for the newest phone, which is every 6 months, mainly around christmas and then income tax, which is when the new phones mainly come out. So this gives that other group a reason to now get insurance also.

      • Dakota

        Me too. I’ve had warranty issues cuz phones don’t work but it’salways been ttaken care of. When, not I email the CEO or on one occasion the head of Android and gotten it taken care of. But I’ll never buy Samsung.. Ive had the worst experience with them

      • A

        I have kids that are not the most gentle with things…the insurance is a necessity for us since our kids can be rough on the devices. Having that piece of mind, we don’t have to worry as much. The funny thing though is that it was me (not my kids) that accidentally destroyed my phone (a Vibrant), which was replaced with a Galaxy S2 (free upgrade!). At the time, the deductible of $130 was way better than paying full price for a new phone.

        Since Jump is only $2 more, the extra cost is negligible and we have more options for upgrading without hassle. Although, since I own my phone free and clear, I can’t add Jump until I actually get around to upgrading. That’s OK, I’ll add it when I eventually do, but I’ll still have my GS2, which I can sell or give to my kids to play on.

        I guess that’s a long winded response to say that the plan is good for those that carry the insurance, maybe not so good for those that don’t, but it isn’t a one solution for all type deal.

    • steveb944

      I don’t have insurance on my phone, and I’ve only brought harm to 1 of my 8-10 devices, and it still worked afterwards.

      But the bottom line in the article is that you’re never getting anything. You’re not going to walk away with the phone at the end of it all. You’ll just keep upgrading endlessly paying more. You can get more if you sell on your own, but you’re paying a luxury tax to not have to worry about selling or loss/breakage if you don’t take care of it. Remember if you mess it up bad enough you’ll have to pay a deductible and the deal goes out the door.

      • mikey

        Buying and then selling is the same thing, either way you end up with only one phone in your possession. For a premium $580 phone you only pay 220, its the same thing as getting 360 for selling your phone on ebay by the canceling the remaining eip and taking your phone. Take the blackberry z10 its going for maybe 250-350 on ebay right now used, and its only been out 5 months. But you would still have to pay the seller fees and shipping. So you loose money by selling it yourself, versus if you were able to trade it in today and have them cancel the rest you owe on it. And seriously with phones being blacklisted and tmobile giving eip, why would ppl continue buying phones online that might not even work for much longer.

        If you break the phone you break the phone. Paying the deductible would happen if you bought the phone for cash, broke it and wanted it replaced anyways.

        • steveb944

          I meant in terms of more value by ‘keeping’ the phone. I would sell through Craigslist or any other site that lets you do a sort of exchange and skip on the fees. You would obviously purchase top tier phones which will render the most resale value in those 6 months, BB and WP need not apply. There are sites that link up buyers and sellers of devices with guarantees against non working hardware.

        • mikey

          Thats another positive to it right there though, if you decide to get a phone, and afetr a few months it still sucks and you hate it, can just change it up without having to pay it off and hunt for a nonexistent buyer.

  • Symsoul

    Jump looks like an interesting option for existing and prospective T-Mob subscribers. The only thing I haven’t seen discussed is what they plan to do with all those used devices. Many like the Galaxy line and especially the iPhones hold a pretty high resale value. Thus, you have to believe Magenta plans to really bolster that segment of the market as well. At least, they will if their smart!

    Getting back to a post of yours from a few weeks ago, it’s amazing how different things can look in a year. Twelve months ago, I was pondering a jump to Big Red or worse yet, AT&T. I’m SO glad I stuck around!

    • mikey

      Refurbished replacements!! They will use them for the customers who keep their phones longer than six months but have warranty issues with them or file claims for being lost or stolen. It will give them more phones quicker so they will not have to send customers as many new phones as they do now. Which would be alot during the first year of a phone’s life.

      • 2wilight

        Lets say a customer uses the JUMP program and after 6 months they want a new phone. Their Galaxy S3’s volume buttons don’t work at all but you can still turn it up or down through the settings on the phone.

        Can they still trade in the S3 and knock off their remaining EIP even though the volume buttons don’t work or would they only knock off half the EIP based on the condition of the phone?

        P.S (T-mobile employee)

        • mikey

          Basically using JUMP insurance standards apply first. Lets say its an issue where the customer would have to pay a $5 or $10 warranty fee to get a phone using the insurance. They pay that costs then can JUMP. Just like if its lost, they pay the deductible, then can upgrade.

  • Clem2011

    Look at T-Mobile wiping the slate clean as T-Mobile buying your phone. So if the iPhone cost $550 and you’ve only paid $225 then T-Mobile just buys your phone for $325. This cancels the remaining device balance. Of course after 6 months your brand new iPhone will probably be worth more than $325. And if you consider the jump fee as an insurance plan on steroids all should be good.

  • This is another gimmick for iSheep and Android Fan boys. Why not buy on payments, if you break the phone use 7.99 PHP instead. Phone will still be yours. If you need to get newest gadget. Pay off your old phone and buy new one. They just did this, so they can reuse those phones that we return and sell them as used phones to get people in the door.

    • JBrowne1012

      You must be one of the 5 people who own either a BB or Wp8/7./7 or even something as lame as a flip phone from 2006. Jokes aside This is great for those that like upgrading to new things. Imagine this you are the average joe in search of a phone you buy during christmas time and t-mobile is having a sale on the Behold 2 the absolute worst android phone that was made by samsung because t-mobile offer it free with a contract now after 6 months with the device you have just had enough of the thing and are ready to throw it at a wall but wait you were smart enough to buy into jump and low and behold it has just saved your behind because you know you have been eyeing that brand new S4 by Samsung and T-mobile has another deal where its $50 for new kids on the block so guess who can take advantage of that? you! because you weren’t a sucker 2nd time around.

      • Yes, i’d rather buy the phone. Not just return my property which i can use it myself to sell on craigslist. Why would i lease something precious and paid for to be in my hands for 6 months and loose it when i upgrade.

        • JBrowne1012

          Its how you look at it. I myself buy unlocked so I always pay full price this doesn’t affect me neither but most people will enjoy not having to craigslist the phone or ebay it or pawn it, Its less of a hassle going to t-mobile and them axing the pay plan for the phone rather than trying to get the most and covering the loss. This plan is great for those who constantly go through phones I mean eventually you can opt out i’m sure

        • mikey

          Simple, becausethey giving you about the same you could expect to get for a used phone selling it yourself. And who needs more than one phone at a time. Need a back up buy a nexus

      • Bill Berry

        I own both but my day to day device is WP7.8; that said, why does a conversation always become about who’s got what OS. It begs the question how much one is willing to spend on a device…not the plan and what that monthly number is

  • JBrowne1012

    What some people are neglecting in their assessment of this is that this plan provides an outlet to customers who have accepted a bad deal to begin with. Ever mistakenly acquired a phone on contract and then months later it worked like total crap? now you don’t have to wait 2 years to get rid of it you can change a service and hop on jump. Only question I have though is if I am enrolled in Jump and I’m satisfied with my device can I own it and just pay it off?

    • mikey

      Of course you can you can pay it off and keep it and still get another on eip if you choose to, or don’t pay it off and just trade in for a new one every six months or however often you choose. Good thing about jump is that it’s optional.You can switch once a year if you want to or twice a year or not at all

    • Bill Berry

      Would you be refunded the cost of Jump if you did that?

      • Daniel

        You mean $2 per month? If you can’t handle that then that sucks for you.
        Jump includes more then just the upgrade promotion. It includes equipment protection which is normally almost $8 per month.

  • warpwiz

    The relationship to the warranty program (currently $7.95/month) is confusing. In a TMo release, the text made me think that perhaps the handset warranty is included in the $10/month. If that is the case, then someone with the warranty in force is only looking at a $2/month bump to get Jump!

    Did I read that wrong?

    • Jose Hernandez

      No, I had the warranty already. By joining JUMP! my bill has only gone up $2 a month.

  • AJ

    If they were to take the payments that you already made on the phone and put it towards the new upgrade then that would be better in my opinion. Otherwise I don’t find it a good offer. I’d rather just pay off my phone and not have an extra 10$ fee.

    • mikey

      It’s only an extra$2 if you currently have insurance already on your phone. It’s basically buying your old phone from you every six months for more than half what it originally cost.

  • Dakota

    the casual, average consumer doesn’t care about this. with an iPhone only being released once a year, its not a big deal either. especially since you got the latest iOS upgrade regardless. are you allowed to quit jump whenever you want? so can you do it for 6 months, get your new phone and then quit?

    • wtshaolin

      It’ll be worth it more for Android and WP fans in that case, as we can jump to the newest HTC, Samsung, even Sony (blech)

  • Dakota

    what condition does the phone have to be in? are there any limitations for example if its not working properly, if its scratched etc

    • dtam

      I think the fact that you have insurance covers scratches. although if it’s completely not working, I’m not sure if they make you pay the deductible also

      • Oompa Loompa

        Normal wear and tear, scratches, scuffs, mild dings, etc are not considered physical damage.

    • Matt_Reader

      They said during the announcement that if the phone has a cracked screen (they didn’t mention anything about scratches), visible water damage, and boots up. It qualifies as good condition. If it doesn’t mean their definition of good condition as above. You would pay the deductable, ranging from $20 to $170, then go buy your new phone on the program.

  • mchap87

    I have the HTC one. The insurance is 12$. I would be saving 2$ a month using Jump as an insurance option. My question is though, Can I still upgrade through a third party retailer? I bought the HTC for100$ including a 50$ gift card and no EIP. I would hate to give up that deal.

    • dtam

      You sound like you’re on the contract plans, I don’t think you can get on this unless you switch to the new plans

      • mchap87

        Yes I am on the contract plan. Oh well, I was gonna do it just for the insurance.

      • mikey

        You can get on this plan, all you have to do is get eip thru the tmobile directly, cannot use this with third party retailers as they do not do eip

        • mchap87

          So say if I’m on t he plan and my HTC breaks 6months from now. I have the choice of either upgrading to a newer phone by paying upfront fee and monthly EIP, or paying 175$ deductible to get a new HTC One. I’m guessing those are my only 2 options?

        • mikey

          If its a cracked screen or some damage where you have to pay the deductible you would still have to pay the deductible before you jump. You pay what you would to get a replacement device using insurance, then tmobile pays the remaining eip, then you can pay down payment on new device.

        • Oompa Loompa

          Good key point. You dont actually have to get the replacement device, just pay the deductible for damage and then do JUMP! all in the same visit in store.

        • thepanttherlady

          You have to be on the Simple Choice plans. OP is on a classic plan.

    • Bill Berry

      Like Wal-Mart! They tack on a 2 year contract which I say to myself, just how do they do that if one you’re not in one and two; once you’re month to month, how is that possible if there are no longer contracts and prior to the purchase you weren’t in one?

  • Jeff

    Excellent way to keep money rolling and collecting in advance, it is like Poncey scheme collect as much as possible from as many customers in advance…excellent business idea

    • Oompa Loompa

      I assume for you the dollar menu at mcdonalds is a pyramid scheme then?

  • greenonion

    If you lose a phone and replace it (say buy phone in July and lose it in October), does it count as a JUMP? Do you need to keep the replacement phone for 6 months (wait until April) before you upgrade? If not then it’s a pretty good deal if you can trade PHP replacement phones quickly.

    • mikey

      No it wouldn’t count as a jump but a insurance claim. Just like if you loose your device at 6 months and want to jump to a new one, you would still have to pay the $150 or whatever deductible followed by the down payment of the new phone.

  • Deihmos

    SO I can enroll and upgrade in 6 months. Interesting. This might cost T-Mobile some money.

    • mikey

      It won’t. They will make/ save money, easily. They charge $2 more per month for ppl with insurance, and its $10 more that people who saw no reason to have insurance before, but now want the ability to upgrade every 6 months will be paying now. And say someone breaks their phone, they have to pay the deductible to replace it, or to upgrade using eip they must pay the deductible for for phone since its broken still, then turn around and pay the down payment on the new phone. Either way tmobile still makes that money.

      And say you buy the new sony phone and have jump insurance. Six months from now Galaxy 5 comes out and you want it, but you dont have the $150 down to get it, your stuck with the same phone still, until you get the down payment needed. Some people might only upgrade once a year since a down payment is still required, which means tmobile only loses out on the eip payments for that phone for the last year, but thats only 240, which is less than most used premium phones would sale for being about a year or less old.

      Tmobile makes more the longer you choose to wait to upgrade, but someone upgrading every six months gets the better deal, while Tmobile still gets to ensure manufacturers that new devices are constantly being sold.

      • Bill Berry

        You never outright own the device; just like a car; no matter how you crunch the numbers; once paid off…it’s zero, you’re done!

        • mikey

          If you choose to pay and own it you can, but what’s the point of paying off a phone to own it, just so you can sell it and get a new one

      • orlando

        They are also making money by retaining people as customers even though they no longer do contracts as long as u owe on a phone you are stuck unless u decided to pay it off which would cost you more than a termination fee at most companies. Just think of it this way each time you trade in your phone its like extending your contract..smart.

  • Clarkkent113

    I’m a technology-fiend and I get bored with a phone within about 4-5 months (because usually something greater comes along in that timeframe anyway. So updating to the newest phone every 6 months is right up my ally.

    I’d pay the $10/month premium because it also includes insurance. That means I never have to worry about buying a case and worrying everytime I pull my phone out of my pocket. If I drop it “oh well.” Paying a deductible would suck but it’s about time I’m able to enjoy the sleekness and thinness of modern smartphones without the ugly cases.

  • scott

    JUMP is great as it not only gives you that opportunity to get the latest and greatest phone sooner but the $10 a month includes insurance, lifetime warranty, and mobile security! I’m paying $12 per month now for the premium protection and I’m not getting JUMP, so I’ll be saving money and have the opportunity for a new phone sooner! I love it!

    • Bill Berry

      I see your point and it’s a good one but those of us who outright buy the device…we don’t have a need for any of that. You’re literally leasing the device never to outright own it. It benefits those who in fact upgrade every six months to a year; but this strategy benefits those like me who sit on a device that has come out and with the next great device the price of the “older” devices will fall with the more rapid turnover.

  • If I made a grammar mistake, I apologize. That doesn’t change the meat of the information.

  • Randall Lind

    What if nothing comes out in 6 months to a year I want? I owe $480 let say I pay it off in 6 months can’t I just buy a new phone since I am not on a contract?

    • mikey

      Yes you can choose to keep your phone and pay it off if you want to. Or trade it in every six months, year, or whenever you choose to or choose not to. But you have that option.

    • mr64

      Yes you can

  • David

    David i dont like the way in the article you put that for 10 months of Jump your paying a extra $100. But yet completely leaving out the fact that Jump comes with PHP Bundle. Which iphone customers are currently paying $11.99 for. So for those customers Jump LOWERS the bill.

  • AJ

    How do you sign up if you are already a Tmo customer?

    • SoloX

      I called customer service and it was added on both my lines I’m an existing customer.

  • Eric Hare

    Went to the website, don’t see a way to sign up…

  • mr64

    Why not use the present phone until you pay it off, no matter the time it takes? Then its yours to sell, then move to the next phone. You could trade 3,6,9,12 times a year if you really want.

  • mr64

    Remember that Van Halen song, might as well Jump?

  • Aaron Tillery

    only one problem i called TMOBILE today to add jump and was told its not provided in my state(NEW YORK) or others(Kansas,etc) like seriously? i guess they said its for insurance cause your paying on the phones anyone else here about that?

    • SoloX

      I enrolled in the jump program today. Its on both my lines in NYC

    • Oompa Loompa

      The old PHP used to be restricted in many states because state law restricting insuring things you are paying on installments. However, this is no longer the case with JUMP. Call back, talk to a manager if needed. As long as you currently have eip on your account AND PHP you can enroll.

      Many agents are unaware of this because the word did not come down that this restriction was no longer in effect until after launch.

  • AB87

    I just called to add Jump but they won’t let me add it unless I buy another phone at full price 1st. I just bought this one 3 months ago. I am done with this crap I am selling my phone on Craigslist and joining another carrier.

    • Classick

      Do a warranty exchange, then at the time of processing they can add jump. Wait three more months then you can Jump. Or leave to another carrier and pay more for less. Your call.

      • Oompa Loompa

        The 6 month wait period starts from when you add the feature, not get the phone, but still worth it. Not to mention that you still have to have EIP and PHP to enroll during the open enrollment period. If you dont have EIP already on your line there is no point in having JUMP since there is no EIP to pay off.

    • randpost

      why are you upset that they wont JUMP you in after owning a phone for 3 months? You are silly.

  • Nunya_dam

    Is the JUMP program really worth it?

  • AJ

    Apparantly this is what Tmobile emailed me about the Jump program if you’re already a customer…. “You’re welcome to enroll in JUMP during an upgrade, warranty exchange, or if you add a line with EIP.”

  • SoloX

    I signed up this morning for the jump program and I live in NYC.
    Its listed in my account. I put it on both my lines. Joined tmobile in april.

  • Bill Berry

    When the brain trust hatched this up did they say to themselves; who owns a phone longer than six months; anybody? Answer…yes, I do. I own a HD2 now four years old and it is flashed with Android 4.2.2; system and boot on nand and data on ext; 64GB card. Not bad for a relic!

    • mikey

      They probably figured that ppl usually get a new phone when they are up for an upgrade, and now since you make payments ppl try to pay phones off quicker to resell them just to buy a new phone, this makes it easier andquicker

  • JaswinderSinghJammu

    JUMP is a good option if you are the kind of person who is definitely going to upgrade every 6 months or if you happen to have a oh crap moment. Here is how I am looking at it $150 for the S4 down plus $20X6=$120 plus $10X6=$60 for insurance/jump. So far we are at $330 after 6 months. If you decide to keep the device for 1 yr you can add another $120 for payment and another $60 insurance/jump now you are at $510 (Almost the pull price of the phone). I don’t see why someone will not just pay off the device and sell it on craigslist instead of trading it for $300 towards the new phone

  • Chris Boyd

    I had the insurance on my phone (I’ve broken a phone before) at $11.99 a month for my Note 2. This was a no-brainer: reduce my bill by $2 a month AND get the JUMP! service. Just get the S5 out by January/February and I’ll be really happy.

  • blasphemeous

    this is also not fort those who aren’t qualified customers tho,because you’d have to have a higher down payment, twice, which would usually pay for the whole phone in a span of 6 months, so I took it off. yeah, i’m not a qualified customer.

  • :)

    Math is a little off Jump is $10 but that’s due to the insurance part of it. Insurance is $8. So really your only paying $2 to be on jump. Not bad of a deal to upgrade twice a year. :)

  • Happy

    I am a phone freak. I do like to have the best. I have been a happy T-Mobile customer for years. There might be something I am missing but T-Mobile’s recent changes seem to be a way to make more money the way I look at it. There latest no contract change you are forced to pay full price for a phone to save a little bit on their rate plan. This new idea you aren’t really only paying $10 a month to have the best phone available. Lets say the new phone you want has a $180 down payment and then $20 a month payment. Over the next 6 months you have made a $60 payment each month towards your nice new shiny phone. Then you get to turn it in towards a new phone and do the exact same thing over and over. You never own the phone and dump way more money into it than I think is practical.

    • Oompa Loompa

      Well when you consider you also get a discount on the bill that is usually at or more than the EIP cost, and you get trade in credits and eip payoff it really does save you money. Go with the old system, and upgrade your phone and pay the required data service and inflated costs, then also include in the fact that if you were to want to upgrade after six months you pay full cost for the phone with no EIP, no trade in, or any additional credit. Assume you kept doing this, as you suggest, and upgrade every six months. Assume you go with a mid range 400 dollar phone. You would upgrade once at a discount, which for most 400 dollar phones would be around 100 bucks, then you upgrade at 6, 12, and 18 months (the 24 month time would be a new discount. So in just a two year period you would upgrade three times at 400 bucks and once at 100 bucks. Thats 1300 dollars. Not to mention the inflated monthly service cost and the required data cost. Typically you spend at least 20 bucks more per month AT LEAST on the old plans, so if you add in the 20 per month for two years, thats 480 bucks. You bill for those upgrades just hit 1780 dollars. For a mid range phone.

      Take the same setup for a high end phone, like the iphone 5 or galaxy s 4. Assume 600 bucks for the cost of the phone. Subsidy around 200. That makes 200+(600*3)+480. That comes out to 2480 bucks at the minimum.

      Now lets take the high end phone for example, and put it on the JUMP! program. Assume the s4. 150 down, 20 a month. You dont pay the inflated or required costs for the price plan, so we already start off 480 bucks cheaper at least (if not more, some people save nearly `1000 of more with the lower plan costs). The lets assume same upgrade time frames. You pay 150 down, 20 a month for 5 months (the down payment counts as the 6th installment) so for the first six months you do 250. Then you do it all over again. The JUMP program pays off the eip and you do another down payment and eip for another 250, the 250 at 12 months and 250 at 18 months. Then include in the cost of JUMP which is 2 bucks more a month than normal PHP, so thats 48 bucks over 24 months. Essentially you pay; 48+(250*4) which comes out to 1048.

      So which would you rather pay? 2480 or 1048?

  • CMACK

    THINK ABOUT THIS THE EIP DOESN’T HIT THE BILL UNTIL 2 MONTHS AFTER YOU GET THE PHONE. SO YOU’LL ONLY BE MAKING 4 PAYMENTS AFTER 6 MONTHS (REVIEW THE EIP BILLING DATE ON YOUR RECEIPTS)… GALAXY S4 $630, $150 DOWN. $480 ON BILL. MAKE 4 PAYMENTS $80. TRADE IN THE S4 TAKES CARE OF EXISTING $400… GOOD DEAL!

    • Erik Papesh

      Exactly! Plus with the new “high end” phones, insurance is 11.99 a month, but with JUMP! it is only 10 a month…No-brainer if you ask me.

      • AK

        Some credit cards, such as Wells Fargo Visa Platinum, offer free insurance as long as you setup automatic monthly payments for your cell phone billing. Only $25 deductible and covers up to $600. Most credit cards also have automatic extended warranties (90 days or longer) on electronics purchases. Most people are not aware and do not take advantage of these benefits. It’s like buying the extra insurance from the rental car agency, where you are already covered between your auto insurance and credit card benefit.

      • Brandon

        That’s one of the reasons right there why I did it!

  • Ivan858

    The article is spot on. The EIP balance that T-Mobile forgives is going to be a whole lot less than the market value of your phone. For an 16GB iPhone 5 you’ve put in $332 at month 6 and they will waive the $318 EIP balance when you jump. What you need to consider is that you are giving up a phone that will sell for $500+ on eBay and Amazon with minimal effort. So instead of paying full $649 and selling for $100 less on the market for a 6 month old phone, I should Jump! and take a $332 loss? No thanks. An EIP deal with Zero down, Zero interest, and a higher monthly payment would be fantastic for consumers. $27/mo x 24mo. T-Mobile get it together and offer more financing options

  • Oompa Loompa

    A few key points to keep in mind:

    *The six month wait period is ONE TIME ONLY, not every time. So if you buy the iphone 6 when it comes out, then turn around the next day and want to get a note 3 you can, without very paying anything more than the down payment. Which means instead of paying off the remaining, estimated, 480 bucks for your EIP then being able to do the new phone, you get to waive it off and pay only the next down payment. You are not even obligated to keep jump on the account. So you can use it once then remove it if you chose to, although for most early adopters it will benefit from keeping it on the account.

    *You cant factor in jump at the rate of 10 bucks a month. The jump program is actually CHEAPER than the old 11.99 insurance and released alongside the new insurance. So in a way JUMP! will save people money. Many customers are grandfathered into the 11.99 feature and not auto changed, and so JUMP! actually cuts their cost. Those who are going up in cost are only going up by 2 bucks a month. So in a year period its not costing you 120 bucks but only 24 bucks. BIG DIFFERENCE.

    *Also, eip doesnt start right away. Your down payment is technically one installment. If you do wait the first six months, you will only pay 5 installments in reality on top of the down payment.

    *While you “lease” in essence the phone, and don’t get to have it after you trade it in, many people never reuse old devices, so they just sit in a drawer or get sold. Customers have the option to trade in devices even without the JUMP! program, and get instant credit towards new devices, but JUMP! is essentially a guaranteed trade in. That way if you take your phone in and only owe 20 bucks left on EIP you can use the trade in amount instead which may be higher. Also, many of the eip payoffs offer more financial return than selling a device, with some exceptions.

    • thepanttherlady

      On your first key point, how does it make financial sense to purchase a phone then JUMP! to another before the return window has passed? Wouldn’t a restocking fee be less than the down payment + tax on another phone by upgrading so soon? Yes, I get the idea that that you can do it but why would a customer do that?

      • Oompa Loompa

        Well restocking fees are not charged in all case, and the return window is only 14 days. There are many cases in which customers buy a phone and then want to return it outside the buyers remorse period. They buy it for a gift two weeks before a birthday, or they have it shipped while they were out of town, or procrastinate, etc. So if you are, say, 18 days from original purchase date and cannot return the device, then you can use JUMP!. I know one person who went with his wife and both got new phones. She got the s3, I believe it was, and he got the iPhone 5 and absolutely hated it. He was unable to return it in time and did JUMP! so that in six months he could get something different and not have to pay off the entire iphone.

        • thepanttherlady

          I won’t worry about that being a complete waste of $ because it’s not mine. I’m more curious as how the 6 month waiting period for JUMP! was waived as the program was just announced this month.

          ETA: Never mind. It took me 3 tries to understand what you meant in your post. :/

          However, the other guy can sell the iPhone now for more than the $480 owed and not only cover the rest of the EIP but pay for most of the next down payment on a new phone. All without using his JUMP! option.

        • Oompa Loompa

          But the resell option is not always viable. Some phones are simply not resellable, or some people do not live in a big city where craigslist ads are answered in a heartbeat.

          Try posting a MyTouch Q up for sale. or an L9. Not many people are going to be knocking down your door for it.

          The L9 for example, sells used for around 150 bucks if people get what they are asking for it (and we all know they don’t always). That means you take a 90 dollar hit on the normal 240 retail price. Which EIP 10 bucks a month, down payment 0, and jump costing 12 bucks (at 2 per month) in that first 6 month wait period. You spend 12+50 (five installments will be paid, not 6)=62 bucks “lost” on phone for doing JUMP vs selling itself and maybe only losing 90 bucks, and by the time you get around to selling it you will be lucky to get 150 bucks for it.

          The assume some people wait weeks to resell a phone (Ive had one phone up for sale for 6 months before I stopped trying to sell it), Selling it is not guaranteed. You have to wait to get paid for the sale before you can reuse the funds again most of the time, If you dont get lucky and resell it for what is remaining on the EIP, then you still have to pay off the old EIP before setting a new one up, and more.

          JUMP! is not for everyone. But 12.5gb web is not for everyone, and hotspot tethering is not for everyone, and the iphone is not for everyone, and cell phones are not for everyone, etc.

          We can always find people for which JUMP! doesnt work. Its not that hard, but the people it does work for definitely save more money than the would otherwise. For some people it even saves them money just on the PHP cost even if they do not use the upgrade options.

        • Oompa Loompa

          Looking around, the pricing on the used iphone 5 is running around 300 bucks on average. Asking upwards of 550 for some models. Gazelle will give 300 bucks for like new, and new york’s craigslist is around 350, and ebay definitely varies wildly from cheap to expensive. However, assume that after 6 months the customer still have around 360 bucks remaining on EIP which means a 360 buck trade in vs potentially only a resell of 300 bucks.

          Now, under your example of reselling it right away and not waiting for JUMP for 6 months, the customer would still have 480 remaining on EIP, and would be lucky to get 500 bucks for resell. So would either break even, or likely only get closer to the 300 bucks the average sale price is, and have 180 bucks remaining that would come out of his pocket before he could do EIP again. Assume in that 6 months before jump took effect he would only pay 120 bucks at most towards eip and 12 to JUMP and be spending 132 bucks in total, he would save more money by using JUMP as well. So it could very easily go either way.

    • Danielle1121

      I have a question as far as the condition of the phone when you jump it. I wonder if the trade in value will be less if you have any scratches or cracks on the screen etc

  • Danielle1121

    I have a question as far as the condition of the phone when your ready to jump it. Will the trade off value be less if there are any scratches or cracks on the screen etc.

  • randpost

    After 6 months, can I just return the JUMP phone and not upgrade through T-Mobile? Lets say I wanted to get the Nexus 5 straight from Google.

  • Randy

    Too many people here are tards!

    First off, you own the phone the moment you sign the contract; you simply owe t-mobil money and will report to the evil credit people’s should you cancel and not pay. There is no phone repo man, lol. Second, the insurance alone is worth the price even when compared to other carriers. And if you paid full price and then drop your phone in the toilet next week, you are out even more money. This covers you in every way, for any scenario. Including the 10 per month and ignoring the other benefits is just plain silly. Crunch all the numbers you want, but i went with JUMP simply for the insurance….

    I just don’t see how most people don’t see the benefits to this.

    • Yah except you’re not covered. If you lost, damaged or had your phone stolen you have to pay a $250 deductible just to get a crappy USED, DAMAGED, SCUFFED REFURBISHED PHONE that was in worse condition than the phone you already paid for once.

      • Jeff Henigan

        it’s actually 175$ Deductible and they ship out whatever they have, i got a brand new iphone 6 when mine was stolen