Forum Discussion
what's up with T-mobile removing autopay discount for credit cards?
I just literally signed up for a new plan - debit cards have fees for providers too - accessing my bank account isn’t a good approach from a security perspective (noting that T-mobile has been hacked...
That was announced months ago. It is because credit card companies charge a service charge that is based on the percentage of every transaction, which eats into T-Mobile's revenue. Removing the auto pay discount for credit cards negates that.
gramps28 wrote:S-Davis wrote:$5.00 at 3% = 15 cents. And this is not a new charge, T-Mobile has been paying that CC processing fee since inception of this program. I think there is something else going on.
If you're plan is $100 the cost to process it at 3% is $3. The $5 autopay fee discount isn't what's processed it the plan total.
For one subscriber $3 may not be much but with thousands or millions it adds up. I still think they should eat the cost or even reduce the discount if it is really costing them more for credit card fees than debit rather than eliminating it.
I once worked a job where I encouraged a customer doing a 2000 site rollout to use external modems but they wanted to use internal because the hardware vendor was going to charge $6/month extra on support contract for external vs internal. Although I understood the math of the situation I strongly suggested they should be calculating in the cost of having to take down their site central servers in a reboot because that was the only way to reset an internal modem as opposed to simply resetting the external modem.
T-mobile should be calculating the cost of lost goodwill and loss of customers rather than just the difference (if any) between debit and credit card fees they pay.
