Verizon Prepaid Broadband Unadvertised Charges

by Wildcat Bill
(USA)

Based on your recommendations, I purchased a Verizon prepaid wireless broadband modem.


Everything went as advertised except for the Activation Fee.

Verizon charges a $25 activation fee at the time of purchasing the modem.

I was advised by Verizon that I would be charged a $25 activation fee every time I renewed my service if my coverage had lapsed 30 days.

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Nov 04, 2013
Rating
starstarstarstarstar 		Watch Out For Activation Fees NEW
by: PrepaidWirelessGuy

This topic of fees is relevant now more than ever. There was a period of time when all you had to do was ask for a fee (any fee!) to be waived and they would waive it, noting that it's a one time courtesy. In fact, there was a period of time when carriers were advertising no activation fees.

However, these days, not only are the fees back, but getting fees waived is much more difficult. There has been a heightened sense of overall stress within the wireless industry that to survive, not only do you have to acquire new customers, but carriers must be laser focused on overall profitability.

Thus, activation fees and the like have been making a come-back. Carriers should not be charging new customers activation fees, as acquiring a customer is extremely important, and more valuable than the fee. In addition, existing customers activating a new handset can just as easily leave for another carrier, that alienating them with additional fees is certainly unwise. It's particularly irritating knowing that the process of activation a phone is so simple that it doesn't warrant an additional cost.

Unfortunately, what you'll find is that stores often take a lot or all of these types of fees; it's their compensation. So without it, the carrier must pay them out of their margin, which reduces their overall profitability. This is why you'll find that many other channels, particularly self-service channels typically don't have such fees.

Of course, there are carriers that advertise that they don't charge such fees, which is clearly appealing to customers. That said, I believe that there are so many other aspects to choosing the best wireless provider to meet your individual needs, that as frustrating as fees like this can be, it shouldn't be the deciding factor, unless all else is equal.

More important than activation fees are payment fees. Although they're a minority, there are still carriers that charge customers to give them money (i.e. to add money to their account)! This can considerably increase the overall monthly plan cost, and unless the plan is a great deal, this type of payment fee should definitely be weighed heavily when making a carrier selection!
Jul 30, 2010
Rating
starstarstarstarstar 		Verizon Activation Fee Update
by: Wildcat Bill

While I did pay a $25 activation fee when I purchased the modem, I have let my service lapse several times and have yet to be charged another activation fee. All in all, the service is great and I highly recommend it for the infrequent user.
Jul 30, 2010
Rating
starstarstarstarstar 		Broadband Fees
by: Tom

I just got of the phone with Verizon. They tell me as long as I use the 800 786-8419 number to activate there is no charge. BUT if I go into a Verizon store then there is a charge. I have up to 90 days from the expired time to renew the account. After 90 days I simply call the 800 number again and they will reactivate my modem with a new number with no fees. If you go to the store there is a fee.
Apr 04, 2010
Rating
starstarstarstarstar 		Verizon Prepaid Wireless Broadband Fee
by: PrepaidWirelessGuy

Thank you for your feedback. I do my best to list the full details in the Prepaid Wireless Broadband Plans
table. In fact, after reviewing Verizon's prepaid broadband site again after receiving your feedback, I can't see a reference to an activation fee. Even more disturbing is that I can't even see it in the terms and conditions listed on their site.


Hopefully they told you about the fee prior to you completing the purchase. It would be awful to purchase the modem, only to find out about the fee, determine that you don't want to pay it, and then have a big pain trying to return it!


Anyway, given your feedback, I've added the $25 activation fee to the table; thank you!

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