Talking points —

T-Mobile switches users to pricier plans and tells them it’s not a price hike

T-Mobile: "We are not raising the price... we are moving you to a newer plan."

The T-Mobile logo on the doors of a T-Mobile store.
Enlarge / A T-Mobile store on April 3, 2020, in Zutphen, Netherlands.

T-Mobile is moving people to newer, more expensive plans starting with the November bill cycle unless customers call the company to opt out, according to multiple reports.

The forced migration surfaced on Reddit two days ago and was confirmed by The Mobile Report, which published portions of leaked documents indicating how the plan changes will be implemented. T-Mobile also confirmed the change to CNET, telling the news site that "there will be an increase of approximately $10 per line with the migration."

"We're always looking for ways to give our customers more from our services so we're moving a small number who were on older rate plans to newer plans that will deliver them enhanced features," T-Mobile told CNET.

The Mobile Report article said that users "can contact support upon notification of the pending changes and, after listening to a pitch on why they should migrate anyway, be allowed to opt out of the migration." Consumers will be moved to plans such as Go5G or Essentials, depending on what they have now.

Users who want to keep their current plan should call T-Mobile after receiving the notification that will be sent starting on Tuesday next week.

T-Mobile: It’s not a price hike, just “a different cost”

The leaked documents show what customer service reps are being trained to tell users. Instead of saying the price is going up, reps will say, "We are not raising the price of any of our plans; we are moving you to a newer plan with more benefits at a different cost." That's the talking point customer service reps are supposed to use if a customer mentions that they saw commercials "about how T-Mobile won't raise the price of my plan."

Customers will be switched to a newer plan if they're on any of the following packages offered in previous years: Simple Choice/Select Choice, Magenta, Magenta 55, ONE Plan, and Simple Choice Business.

Something a bit strange is going on with the Magenta plan. A T-Mobile document shown in The Mobile Report's article says that Magenta customers will be migrated to Go5G. But it also says that some Simple Choice and Select Choice customers will be migrated to Magenta. T-Mobile's list of current plans includes Magenta, so it isn't clear why anyone with that plan would be automatically migrated.

In 2015, then-CEO John Legere unveiled the "Un-Contract" in which Simple Choice customers could keep their plans at the same price "for as long as you're a customer." T-Mobile currently has a "price lock" but only for customers on certain plans who activated their accounts after April 28, 2022.

Customers who activated accounts before April 28, 2022, had the Un-Contract guarantee, which no longer guarantees that rates won't be raised. T-Mobile's price lock page says, "we have committed to pay your final month's recurring service charge if we were to raise prices and you choose to leave. Just let us know within 60 days."

T-Mobile's current plans range from $60 to $100 a month for a single line or $5 more if you don't enroll in the AutoPay discount. T-Mobile recently started requiring a debit card or linked bank account to get the AutoPay discount, which may be concerning to users because of the company's history of data breaches and leaks.

$5 or $10 per-line increases

One of the leaked documents says that customers will see $5 or $10 per-line monthly increases depending on which plan they have now. The document says the increase can be offset with the $5 AutoPay discount, but that discount has been available for years.

Customers whose plans are set to change should receive notifications via email and SMS starting October 17, though a document said that "timing will vary depending on the customer's bill cycle." The notifications will "include a link to a landing page with plan details and an option to call Care to opt out of this plan migration," the document said.

It will be possible to move back to an old plan for at least a little while, even if customers don't opt out in time. A document that describes a few customer service scenarios tells reps how to respond if a user says, "I just got my new bill, and you changed my plan without telling me."

Reps are supposed to tell customers, "We recently notified you of a change to your plan," and that if the plan "doesn't suit your needs, I can help you with the opt out request to keep your current plan."

We contacted T-Mobile today and will update this article if we get more details. (Update on October 13: After this article was published, T-Mobile provided us with the following statement: "We have identified customers we think will benefit from the additional features of our newer plan options. We are communicating to those customers our plans to move them to those newer plans and are sharing the benefits that come with the plan, the per line price impact and when the change will take place. Those customers will have the choice of moving to the new plan, another available rate plan at T-Mobile or in this case, opting out and remaining on their current plan. If you don't receive a notification, you're not impacted.")

T-Mobile was once a smaller wireless company fighting behemoths AT&T and Verizon but is now one of three major national carriers after acquiring Sprint in 2020. Critics of the merger predicted it would result in higher prices.

On Reddit, T-Mobile users called the change a "shady" and "money-grubbing" move. "We are slowly turning into the Canada wireless industry with high prices everywhere," one person wrote. Another wrote, "How long until they just force you off without a choice? 1 year? 2? Pulling a VZW/ATT seems inevitable at this point."

Channel Ars Technica