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If you can explain to me how a monthly service where payment is required in full every month requires a credit agreement, I'll (don't know, do something crazy l
by yebyen 5y ago
If you can explain to me how a monthly service where payment is required in full every month requires a credit agreement, I'll (don't know, do something crazy like eating my hat) - this is the standard service provider contract, for some reason it is considered a credit instrument and can land on your credit report.
That being said, you are right, there are prepaid options and postpaid with a deposit ($50) that can put you outside of this SSN requirement on T-Mobile. I guess you have to know to ask for them. It is for credit, that's the only reason they can ask for your SSN.
Everything is credit based now, and for some people their phone bill might even be their first positive (or negative) mark on a credit score rating.
- hn_throwaway_99 5y agoIt's credit because, regardless is you pay in full every month, you receive the service before you make the payment. That opens up the service provider to the risk that you'll ring up a huge bill and then skip out on the payment, and all of the rules around credit are designed to mitigate this fact.
- SAI_Peregrinus 5y agoThe standard service provider contract you mention (in the US) is "postpaid": you pay at the end of the month for the usage you had during that month. This is credit: you use the service, then pay after for what you used. That's opposed to "prepaid" service, where you buy "minutes" or "data" before use, and must manually buy more if you run out.
- yebyen 5y agoI have been through many phone sales and the postpaid model does not always have to account for price variability. There are plenty of fixed cost plans with unlimited calling. They will still ask for your social security number and try to make you a new credit account before they tell you there is a deposit option possible. I have no idea why it would be to the advantage of a business like T-mobile to get you on a postpaid plan when there is no possibility of running up your bill. It's still the option they push on hardest when you walk up to the storefront. The credit model is the default model. That was my point. I don't know that I had a point. You shouldn't need to maintain a credit account just to keep a phone number, but I guess it's real estate and that's valuable, they will put it back into the pool if you ever stop paying the bill. I haven't had to deal with these kind of problems myself for a long time, but the pain is still fresh.
- mixmastamyk 5y agoI personally never complied because I agree with you. However that's how they work.