Simply put, why if I buy a phone from Fido at full retail cost do I pay a $25 hardware upgrade administration fee? What is the fee for? If it can't waived I will just buy the iPhone outright from the Apple store. Also, I have FidoDollars accumulated where the real value is really ## accumulated FidoDollars less the $25 fee. I would like an explanation to why this fee is being charged when upgrading a phone and how is my experience any different if I go to the Apple store where there is no fee and Apple personel told me they would even setup the phone for me??
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...It's always irked me that Joe Blow off the street doesn't incur this fee but someone... with Fido gets... <upgrade> $25 fee. ...
As noted above, the fee has been reduced to $15. However, your statement is not quite accurate. While it's true Joe Blow does not incur an upgrade fee when they sign up, they do incur an activation fee (see here). Both the activation and upgrade administration fees cost the same so current customers are not paying more than new customers.
**edit** Just came across this thread here. It looks like the upgrade fee might be waived if the upgrade is done online at Fido.ca**
Hope this helps
A $25 admin fee on a $800 iphone is not that bad. Try buying a locked phone for $150 and paying a $25 admin fee. Sounds fair doesn't it? 17.5% fee plus tax for a locked phone? iphone only has a 3% fee plus tax on a locked phone. Why anyone would buy a phone through Fido is a mystery. They must all be rich and like paying fees for sticking with a brand. I bought unlocked Samsung Gio and like it. Will buy another phone eventually from anyone but Fido.
What is the fee for? What service am I receiving by paying $25?
I don't get it...when the Apple store charges no additonal fees and is willing to setup the phone for me? There is NO advantage buying the phone outright from Fido, except the ability to use FidoDollars towards the purchase. Where your Dollars are immediately reduced by the $25 fee.
Is the admin fee some sort of eco-related fee to compensate the cost of electronics in the landfill similar to the fees charged on HD TV sets? I just want to know what the fee is being collected for?
When I bought a phone in 2010 I asked the Fido rep what the fee was about and was told to the effect of " it is for shipping and handling to pay for the cost of getting the phone to the Fido store". I lold at that answer and still bought my last phone from them cause I needed a phone as I had lost mine.
Repost my opinion of the subject matter from another forum:
I have always been dumbfounded by the telecom's decision to introduce a 'hardware upgrade fee'. espeically with Fido (reasons I will provide later). This thread also broading my scope of the subject matter from member of both sides to justify why or why not the HUF is valid. I will now try to inject my opinion as to why the HUF is bad and should be banned.
The current HUF is not a fair fee - It does not target every Fido users, only those loyal customers who have at least 1 contract with Fido. New customer do not pay this fee. Fido supporters cannot claim this is 'fair' because Fido incurred the same shipping/handing/subsidize charges for new customer as well. Yet the $25 Hardware upgrade fee does not apply. Fido supporters try to relate 'Destination fees' 'Enviromental fee' to be the same as 'HUP' are wrong as well. 'Destination fees' applies to everyone who purchases a car, not selective between new/existing customers. 'Enviromental fee' is a tax set the government, also no exceptions and applies to all.
The HUF is a misleading fee - the reason for HUF was never clear. Fido does not explain clearly WHY the fee is in place, I can understanding destination fee and enviromental fee. What about the HUF? Is it for shipping/storing the new phone? Is it to recover the high subsidy Fido discounts on the phone? Fido needs to explain why a HUF is needed, and the reason should be clear enough for us not to be confused with why new users are not charged. A secound reason the HUF is misleading especially for Fido is their introduction to Fidodollars. I know in the past, Fidodollars can be used for a variety of things. But today's Fidodollar reference is that it is used mainly as a rewards program towards a new phone. A new customer when comparing wireless carriers will take into account of Fido's Fidodollar program becuase it is unique with 4% of cellphone cost converted into Fidodollars to be used for buying new phones in the future. Imagine that customer's surprise after 2 years saved $25 Fidodollars, out of contract, wants a new phone only to find out there is a $25 fee for upgrading their phone. What's the point of Fidodollars then? Customer will definetly felt ripped off.
The HUP aims to drive customer out of Fido - People upgrade phone for variety of reasons, those upgrading due to lost/broken phones will find it disadvantages to stay with Fido if they need to pay additional $25 to keep using Fido while they can port to another carrier and will not be subject to HUF.
In Summary, I understand that Fido is a business to make money and can charge whatever they want against us. What I want Fido however is that they are fair and not misleading when doing so. I can live with Fido charging unlock fees or even activication fee, or even system access fees becuase they explain clearly what the fees are for and I can decide to either use the service or move to a competitors. What I hate about the HUF is a new customer does not know about it, they are told the benefits of Fidodollars but comes time to upgrade phone they found out a good portion of Fidodollars are cancelled out by the HUF.
The hardware upgrade is charged by every company, it isnt just Fido, other providers charge up to $35 for the HUP. So a class action lawsuit against Fido for this fee is alittle unneccessary
New customer do not pay for the hardware upgrade because there not upgrading there services, they are signing up for Fido, so everyone gets 1 free contract and then it is charged, it isnt targetted just for loyal customers.
The fee covers restocking the inventory of phones, shipping and handling and processing the order etc , I can understand why people may not like it, but if you are told about the fee, you can always dispute it (it is a mandatory fee) but at times Fido does have promotions and such where they could give you a credit to offset the charge.
The HUP will always be debatable, but it is a standard fee in the cell phone industry, and I dont see it going anywheres
For your information, here are a few details regarding the $25 hardware upgrade administrative fee:
- When offering a phone with an agreement discount, we reduce the price of the device versus from the manufacturer’s cost through the agreement discount. Fido costs and value of the device are represented by the price of phones without agreement (up to $ 600 for iPhones).
- There are also significant costs in terms of processing, administration, inventory management fulfillment and stocking, every time a phone is ordered.
- This is a onetime charge per order that will not impact your subsequent invoices. This fee is also communicated on Fido.ca and in our advertisement, therefore is not considered a mistakenly charged amount.
Rest assured that we care about our customers. At the same time, we introduced this in order to continue to be able to cover the costs related to ordering equipment. Therefore, in order to provide a fair balance between hardware costs and customers' advantages, Fido introduced the $25 hardware upgrade administrative fee for all upgrades (in store, fido.ca, Call Centre).
I truly hope this answer better explains the reasons behind the $25 hardware upgrade administrative fee.
Thanks everyone for your valuable input. One final question, if I go to the Fido store, buy an iPhone 5S outright, would Fido throw in a Nano SIM card at no charge or is Fido expecting me to purchase one for $10?