Not once, not twice, but now three times in the past year Verizon is increasing rates for customers. On the heels of their latest quarterly earning release (Q3 2023) showing some major shareholder gains, Verizon clearly isn’t satisfied enough. They absolutely must make up the difference after only making $4.9 billion dollars in net income in the latest release. After all, what better way to compliment a $2.2 billion increase in free cash flow year over year than even more money?
Information provided to The Mobile Report via an anonymous but trusted source details the changes. There are a number of ways big red is looking to nickel and dime its customer base with these changes.
Changes To The Economic Adjustment Charge
First, there is the Economic Adjustment Charge, a fee Verizon introduced June 16th, 2022. This is seeing a $0.99 increase to $3.97 for each smartphone and data device on a plan meeting specific criteria.
There is clear intention to get every line for this charge, as first any new smartphone or data device line activation automatically carries the fee. If you upgrade an existing line and didn’t have the fee before, it will also be added. If a line’s contract expires, the fee will be added. Finally, if your phone has 12 months or less on your payment plan, you will automatically be enrolled in the fee.
Every scenario essentially makes it impossible to avoid, and since 2022, most customers likely have it tacked on at this point. Fortunately, basic phones and tablets remain unchanged, and their Economic Adjustment Charge is still only $0.98 per line.
Bill Increases For Legacy Rate Plans
On January 23, multiple legacy rate plans are seeing an increase. The amount of increase varies depending on your plan. Not only consumers, but business accounts, are being impacted by this rate increase. Luckily only a few specific plans are impacted this time around.
Plans increasing by $5 per month effective January 23, 2024
- The Business Unlimited Smartphone Plan
- Business Unlimited Essentials Plan
- Business Unlimited Plus Plan
Plans increasing by $3 per month effective January 23, 2024
- The New Verizon Plan
- Flexible Business Plan
- New Verizon Plan for Business Plan
Similarly to the Economic Adjustment Charge, customers can’t avoid the fee forever. Once you activate a line, upgrade a device, or complete a contract, the fee kicks in. It is only a matter of time.
We should add that these changes come from a trusted source. That being said, plans could change, so Verizon could change their minds. We’ll have to wait and see.
Are you about to take this hit on your monthly bill courtesy of Verizon? Let us know your thoughts on this latest move in the comments below.