Controversy as AT&T quietly changes customer discount
Users who receive monthly discounts for paying with a debit card or going paperless will soon find their perk cut.
AT&T customers that take advantage of some of the company’s discount may find that next month’s bill is a little higher than they had been expecting.
The telecoms giant has confirmed that it is reducing the level of discount for some popular initiatives that have allowed customers to shave a significant amount off their monthly bill. The changes will come into effect on April 24 and some customers are unhappy about the changes.
AT&T had offered a $10 discount for customer who pay their monthly bill with a debit card but that will be cut to $5. Similarly the $5 discounts for paperless billing and autopay customers with a linked credit card will both be ended. However the discount will remain for customers who use the AT&T Plus Card from Citi.
Why has AT&T cut its discounts?
Earlier this week The Verge reported that AT&T was preparing to enact changes to the discounts policy. Company spokesperson Kyle Loomis confirmed that the changes were coming, explaining that it was doing so to “align with others in the industry.”
It is certainly true that other cell phone providers have also moved to reduce the cost of similar discounts in recent years. T-Mobile and Verizon had already lowered their discounts for customer with autopay enabled, with Verizon also opting to halve the benefit.
In a letter to a customer explaining the decision, Verizon wrote: “Our focus on ongoing innovation enables us to give our customer the best. To ensure we deliver premium experiences and offers, sometimes we need to make adjustments.”
AT&T, T-Mobile and Verizon are, by some distance, the biggest wireless carriers in the United States. However it is Verizon that currently has the edge, with a 37% market share as of Q4 2024. Their huge customer base is unlikely to be significantly affected by the upcoming changes but it will be a source of frustration for customers used to receiving the discounts.
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