Okay this is an idea I had the other day and wondered if it would work. If you buy an iPhone 3GS as a new AT&T customer you get it for $200. The cancellation fee for an AT&T contract is $175. iPhone 3GS phones sell for about $600 on ebay. This being said, $600 - $200 - $175 =$225. Would this mean you could theoretically make $225? Just wondering.
Why would someone buy the phone off ebay for that much when they can get it for less straight from AT&T?
Maybe once or twice, but I doubt they would let you do it over and over.
[QUOTE=Talat112;16544026]Why would someone buy the phone off ebay for that much when they can get it for less straight from AT&T?[/QUOTE]
Because people not eligible for an upgrade or who don't want a 2 year contract with AT&T buy them off there.
[QUOTE=redonkulous;16544042]Maybe once or twice, but I doubt they would let you do it over and over.[/QUOTE]
This.
[QUOTE=Talat112;16544026]Why would someone buy the phone off ebay for that much when they can get it for less straight from AT&T?[/QUOTE]
I'm guessing the $200 is without the contract fees every month. I'm guessing that if the fees are anything like in the UK, you'd be forking out about $60 a month, which over a year adds up to about another $720. But if you buy it off the contract, you can use pay-as-you-go and spend much less each month.
[QUOTE=gunvalk;16544129]Because people not eligible for an upgrade or who don't want a 2 year contract with AT&T buy them off there.[/QUOTE]
Yeah, I just did a bit of research. I see what you're getting at.
Buy a new phone, cancel your service, sell it on ebay, then rinse and repeat?
Looks like it could work.
But they're bound to catch on eventually.
[QUOTE=gunvalk;16543965]Okay this is an idea I had the other day and wondered if it would work. If you buy an iPhone 3GS as a new AT&T customer you get it for $200. The cancellation fee for an AT&T contract is $175. iPhone 3GS phones sell for about $600 on ebay. This being said, $600 - $200 - $175 =$225. Would this mean you could theoretically make $225? Just wondering.[/QUOTE]
I was able to cancel my contract for my 3G without paying the termination fee...my phone has also been replaced with a brand new one since it's defective.
I got incredibly lucky but yes, it is possible.
You're forgetting about activation fees too.
You'd have to have an unlocked phone so people can use it with any company. No one will buy it if they can just go to AT&T and get one for 200.
[QUOTE=daviddorn;16545677]You'd have to have an unlocked phone so people can use it with any company. No one will buy it if they can just go to AT&T and get one for 200.[/QUOTE]
Which is very easy to do now anyway so it doesn't really matter.
No one will buy, but yet clearly people do on ebay.
[url]http://cgi.ebay.com/New-Unlocked-Apple-iPhone-3G-S-16GB-NO-CONTRACT_W0QQitemZ150364329416QQcmdZViewItemQQptZCell_Phones?hash=item23026995c8&_trksid=p4295.c0.m299[/url]
Anyways, what is this "$200 iphone" business you speak of? I'm sure it's not as easy as you are making it sound. Is there a link to this promotion?
Besides, it's a risk. There is no garuntee you will get the $600+ they can sell for, and you're forgetting ebay cost money to put items for bid too (and you have to pay a percentage of commission from your final sale when it goes). So say you sell on ebay for $600, you'll have to pay a small amount of cash to put it up for bid, and when it sells you pay $52 PLUS $19.16 (an added fee for the item selling for more than $25).
So all in all you pay $71.16 to sell on e-bay, plus or minus four or so dollars.
[QUOTE=KorJax;16547112]No one will buy, but yet clearly people do on ebay.
[url]http://cgi.ebay.com/New-Unlocked-Apple-iPhone-3G-S-16GB-NO-CONTRACT_W0QQitemZ150364329416QQcmdZViewItemQQptZCell_Phones?hash=item23026995c8&_trksid=p4295.c0.m299[/url]
Anyways, what is this "$200 iphone" business you speak of? I'm sure it's not as easy as you are making it sound. Is there a link to this promotion?
Besides, it's a risk. There is no garuntee you will get the $600+ they can sell for, and you're forgetting ebay cost money to put items for bid too (and you have to pay a percentage of commission from your final sale when it goes). So say you sell on ebay for $600, you'll have to pay a small amount of cash to put it up for bid, and when it sells you pay $52 PLUS $19.16 (an added fee for the item selling for more than $25).
So all in all you pay $71.16 to sell on e-bay, plus or minus four or so dollars.[/QUOTE]
iPhone 3GS phones are $200 to new AT&T customers, or existing customers eligible to upgrade.
Also I don't think the fees you are talking about are correct. The last time I used ebay it only took like 5% off the top or something. (not to mention if as you say there is a $20 charge for selling something over $25 that means someone would only make $6 if they sold something for $26.)
doing that would make me feel dirty and cheap though
[QUOTE=KorJax;16547112]No one will buy, but yet clearly people do on ebay.
[url]http://cgi.ebay.com/New-Unlocked-Apple-iPhone-3G-S-16GB-NO-CONTRACT_W0QQitemZ150364329416QQcmdZViewItemQQptZCell_Phones?hash=item23026995c8&_trksid=p4295.c0.m299[/url]
Anyways, what is this "$200 iphone" business you speak of? I'm sure it's not as easy as you are making it sound. Is there a link to this promotion?
Besides, it's a risk. There is no garuntee you will get the $600+ they can sell for, and you're forgetting ebay cost money to put items for bid too (and you have to pay a percentage of commission from your final sale when it goes). So say you sell on ebay for $600, you'll have to pay a small amount of cash to put it up for bid, and when it sells you pay $52 PLUS $19.16 (an added fee for the item selling for more than $25).
So all in all you pay $71.16 to sell on e-bay, plus or minus four or so dollars.[/QUOTE]
The iPhone 3GS is $199 with a new contract. It's not a promotion, both the 3G and 3GS have launched at that price.
No guarantee? Heard of a reserve price? eBay charges a very small insertion fee to auction a phone for a week (a few dollars). Commission is nowhere near $71.16, I don't know where you're getting that from.
[url]http://pages.ebay.com/help/sell/fees.html[/url]
In addition to the insertion fee (less than $10.00) eBay would charge 8.75% of the initial $25.00 ($2.19), plus 3.50% of the remaining closing value balance ($575.00, which is $20.13) if the phone sold – a total of less then $30.00.
[QUOTE=daviddorn;16545677]You'd have to have an unlocked phone so people can use it with any company. No one will buy it if they can just go to AT&T and get one for 200.[/QUOTE]
Wrong, in fact it's so easy to unlock iPhones that bidders pay nearly the same price for a locked phone without contract as they do for an unlocked phone without contract. People pay extra so they don't need to be locked into a contract.
[QUOTE=godihatefacepun;16548032]The iPhone 3GS is $199 with a new contract. It's not a promotion, both the 3G and 3GS have launched at that price.
No guarantee? Heard of a reserve price? eBay charges a very small insertion fee to auction a phone for a week (a few dollars). Commission is nowhere near $71.16, I don't know where you're getting that from.
[url]http://pages.ebay.com/help/sell/fees.html[/url]
In addition to the insertion fee (less than $10.00) eBay would charge 8.75% of the initial $25.00 ($2.19), plus 3.50% of the remaining closing value balance ($575.00, which is $20.13) if the phone sold – a total of less then $30.00.
Wrong, in fact it's so easy to unlock iPhones that bidders pay nearly the same price for a locked phone without contract as they do for an unlocked phone without contract. People pay extra so they don't need to be locked into a contract.[/QUOTE]
Ah didn't notice the 8.75% only applied to the first $25 sold.
I dunno, do you have to get the phone through an AT&T seller, or if I buy an iPhone at Target will it work the same just fine ($200 if I sign up for contract)?
Also next time settle down and don't flame in a PM in the name of internet justice.
We don't sell iPhones at Target. The $200 is for a contract. The phone with no contract sells well because people can either unlock it or use it on their existing AT&T plan as mentioned above.
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