All You Need to Know About AT&T Lease: AT&T Next Upgrade Program
Every major carrier has their own version of an early upgrade program, or lease program where customers can lease a phone and then upgrade to a new phone early. AT&T's version of this is called AT&T Next.
Here's everything you need to know about AT&T Next, which is AT&T's phone lease and early upgrade program. There are two versions: AT&T Next, and AT&T Next Every Year.
AT&T Next
| Monthly Cost | 5% of the retail purchase cost to upgrade after 12 months, or 3.3% for the option to upgrade after 24 months. |
| Payback Period | AT&T Next Every Year: 24 months (to upgrade after 12 months)
AT&T Next: 30 months (to upgrade after 24 months) |
| Upgrades | AT&T Next Every Year: Customers can upgrade every 12 months, or when 50% of the device purchase price is paid back.
AT&T Next: Customers can upgrade every 24 months, or when 80% of the device purchase price is paid back. |
| Phone Down Payment | No down payment is required for customers that have good credit. However, customers with good credit can make an optional upfront payment to bring down monthly fees later. Customers with bad credit might have to put 30% down. |
| Device Insurance | Device insurance is not included |
| Plans Available | AT&T Next is available on all AT&T plans |
With AT&T Next, you can choose whether you want a smartphone that requires a down payment or not. Sometimes, customers will elect to make a down payment, even if they don't have to, so that future monthly payments are lower.
After your down payment, or if you put $0 down, the cost of the device will be spread across 24 months or 30 months depending on what you choose. After 12 months of payments, you are able to upgrade to a new phone. If you are paying back the phone cost over 30 months, then you can upgrade after 24 months of payments.
Here's an example with the iPhone 8 Plus 256GB model, which retails for $899:
- $0 down, then a choice between:
- 24 monthly payments of $37.45 (AT&T Next)
- or 30 monthly payments of $29.97 (AT&T Next Every Year)
If you have a good credit score, you can choose to make a bigger payment upfront, and pay off the phone quicker.
If you upgrade before you've fully paid off your old phone, then you need to turn in your old phone when you sign up to get your new device.
AT&T Next Example
Here is an example of AT&T Next with the Samsung Galaxy Note 8.
| Monthly Cost | $0 down | 30% down |
|---|
| Retail Price | $949.99 | $949.99 |
| Down Payment | $0 | $284.99 |
| Financed Cost | $949.99 | $664.99 |
| Next (30 months) | $31.67 | $22.16 |
| Next Every Year | $39.58 | $27.71 |
So there you have it. That is the rundown for AT&T Next, which is AT&T's phone lease and early upgrade program. Keep in mind that to get the upgrade, your phone has to be in good condition and working normally. If it is damaged then you'll have to pay the phone off before you can upgrade. You can compare AT&T plans at Wirefly today.
