Buying a new cell phone isn’t like buying a new car – you don’t get that new car smell. A used on in mint condition can cost up to 30% less than a new one.
Here are 5 reason why customers should buy and sell used cell phones according to Trade2Save.
1.Buyers of a Used Cell Phone can afford a better Model
Chris Whittome CEO at Trade2Save.com “iPhone 5’s and Galaxy S4’s sell for about 30% less than new ones. The only difference is that the customers peals off a plastic sticker at the front before turning it on. Is that worth 30% more? Buying used means that customers can afford better models, have more memory and a faster processor than if they had bought new.”
2. Buyers who sell their used one save even more money
Buyers should also sell their used cell phone at the same time, to save even more money. “When you sell your used cell phone, Trade-in sites like Trade2save, Gazelle and SellCell offer better trade-in prices than the cell phone store where a new one is bought.”
|Model||iPhone 4s 64GB AT&T|
|Verizon Trade-in Price||$183|
|Gazelle Trade-in Price||$225|
|USELL Trade-in Price||$305|
|Trade2Save Trade-in Price||
3. Don’t be fooled by the subsidized new phone price – you’ll pay unsubsidized tax
A New iPhone 5 16Gb with a 2 year contract can cost as little as $200 from Verizon with a 2 year contract. However, this is a subsidized price. The tax you will pay for the new phone is based on the original price of $650, not $200.
4. Signing up to a new contract with a subsidized phone comes with a $35 activation fee
This is just a way of charging new contract customers $35 for nothing. It’s a bit like the grocery store charging an extra $10 for saying “have a nice day.”
5. You can have a same contract with your own Phone, without the 2 year term.
Contrary to popular belief, you can sign up to a regular monthly contract, without being tied to them for 2 years. So you can leave at any time or switch to pay as you go if you fall on hard times.
A 2 year contract will cost you upwards of $2,400.
With a subsidized new phone, you have no wiggle room on the price for your contract. The minimum 2 year contract with 2GB roaming plus unlimited talk and text is $100 + tax a month for an iPhone 5 16GB, or $2,400 + tax = $2,640
When the networks can’t hold you to the 2 year contract, you’ll be surprised what offers they’ll give you when you threaten to leave every few months. $70 a month could be achieved, cutting your monthly bill by 30%.
|Cost Comparison iPhone 5 16GB||New Phone with a 2 Year Contract||Used Phone in Mint Condition|
|Tax based on unsubsidized price||$65||$0|
|2 Year Contract Total||$2,640||$1,848|
|2 Year Contract Total||$2,940||$2,318|
Without the 2 Year fixed contract term, wireless customers have more flexibility to significantly lower their monthly payments at times when they don’t need all the services, saving more money over the long 2 year period. However, on face value, you stand to save over $600, which is the cost of a new iPad. But then why buy that new either?