what's up with T-mobile removing autopay discount for credit cards?

I don't buy it. A business as large as tmobile whining about cc fees while the mom and pop sub shop I went to yesterday takes all credit cards available and manages to not play the "Woe is me" card.

You mean to tell me tmobile hasn't struck discounted processing fee deals with card processors? As someone who worked in the banking industry, like I said, I don't buy it. 

It’s not too late for the corporate decision makers to reverse this terrible decision.

I'm becoming more unimpressed with and disillusioned by T-Mobile every day. Slowly chipping away at the benefits will only drive customers away, so as soon as my two-year "contract" is up, it's adios.

cloh76 wrote:

I just got the message too.  It's stupid.  Especially since I use Apple Pay which gives me the additional 3% cashback on top of the $20 discount

And the credit card I pay with has phone insurance covering theft and accidental damage. As long as I pay the bill with it...

Tmobile best rethink this decision. 

Are there ay lawyers out there? I don' think it is legal to change the rules after you already made an agreement. What about a Class action law suite ??? I have been using my CC since I started with T-mobile in 2022 Feb. Now I will lose my discount. I chatted with them and was told that it is because people will pay with CC, get the discount, then revers the charge, REally? I don't think that is the case. How can they really expect someone to be forced to use a personal checking account or debit card to receive the discount. I can choose to use my CC but at a cost now of 20.00 a month, this is basically a charge to protect my checking account from being hacked. 

Ok I just here to see when this was announced bc I rec'd the text message. I'll be switching carriers soon.

Add the fact that TMobile is notorius for data breaches. At least you have protection using your credit card, none using your bank account. Just a matter of time before someone gets their checking account wiped out. This business decision sucks.

I just got the text from TMobile about the autopay with credit card no longer receiving a discount as promised.  I consider this as TMobile breaching the service agreement.  And since TMobile is beaching the agreement, all agreements are off including arbitration.  I will file a PUC complaint and join any and all class action lawsuits.

Really TMobile?  You think you're going to get access to our debit card or bank accounts? NO!  You think you're going to take away our discounts and still get to charge our credit cards?  NO!  Time to switch back to paper billing and we will send you electronic checks (no stamp required) until we switch to another service.  Good bye TMobile!!

“ It is because credit card companies charge a service charge that is based on the percentage of every transaction”

I dislike the way this is stated because its comes off as anti-bank and pro-Tmobile, or like this is something new that got sprung on Tmobile.

Transaction Fees ALWAYS exist, are not anything new, the % is between 1 to 4%, typically. For a giant company like Tmobile with their volume of customers and transactions, their transactions fees will be on the lower side of the average, not more.

its very simple:  Some data analyst at Tmobile pulled a report of how many users pay Autopay via credit card, they calculated the total merchant fees paid and then compared to the discounts offered and some exec somewhere didnt like the math.  "We gave them $5 y had to pay $1 to the bank...”

If they are good at analysis, they would forecast the inevitable increase in aging AR due to people dropping out of auto-pay and/or loss of subscribers.  That also means the money they make from not paying fees offsets whatever hit they take to their AR or customer loss.   So in the end, Tmobile is really saying the # of people paying auto-pay with a CC is enough to save a few bucks on fees, but not impactful enough where the increase in AR and loss of customers will be felt.

I mean, that's assuming they were thorough.  But unfortunately, they may be predicting right.  After the initial wave of anger and people dropping in and out subsides, that line graph will just continue with barely a blip.  The other reality is they can always just raise price anytime, so they could give us back the $5 while increasing the plan price by $5.  There's no way to beat Tmobile at this game other than to just leave.

Since TM has a nasty habit of getting hacked, it seems that there are only 3 options: 

1: Continue to pay with a CC, lose $10 and keep your decking account safe from TM’s poor security. 

2: Get a 2nd smaller no-fee checking account and have TM bill it there and keep your $10 discount. 

3: Find a new provider that doesn't get hacked every week. 

I just got the message too.  It's stupid.  Especially since I use Apple Pay which gives me the additional 3% cashback on top of the $20 discount