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Correction: This post has been corrected to accurately reflect the terms of T-Mobile’s new phone payment plan.
T-Mobile has introduced a new payment plan* that gives subscribers the flexibility to replace their mobile phones whenever they want — up to three times a year.
For a monthly payment of as low as $15, consumers can get new phone and gain the flexibility to exchange their old phones for new ones at no additional upfront cost. There are certain caveats to the new Jump On Demand program, which starts June 28: The phone you’re trading must be in good working order.
“Jump! On Demand is the best way to get a new smartphone whenever you want. Zero out the door. Zero at upgrade. Zero fees. Zero wait. Zero BS,” T-Mobile CEO John Legere said in a statement.
This 18-month lease agreement is available initially on the most popular phones: Apple’s iPhone 6 and 6 Plus, the Samsung Galaxy S6, S6 edge and Note 4 and the LG G4. Monthly payments range from a $15 limited time promotion on iPhone 6 to $32.49 on a a Galaxy S6 edge. Consumers who want to keep the device at the end of the term will need to pay off the remaining balance of the retail price for the phone.
This latest incentive is designed to help T-Mobile gain subscribers in the hyper-competitive domestic mobile phone market. In its most recent quarter, T-Mobile added 1.1 million mainstream customers using the lure of incentives and aggressive marketing. It is on the verge of eclipsing Sprint as the nation’s third-largest carrier.
Jump On Demand is a twist on T-Mobile’s existing Jump early access program.
That program charges $10 per month in addition to the device rental fee, and also included device insurance but offered more limited upgrade rights. Device insurance is not included in Jump On Demand and is sold separately for $8 per month.
The introduction of Jump prompted all the other carriers to offer early upgrade programs of their own. Verizon customers who use its Edge installment payment plan can replace their phones anytime they want — so long as the phone is paid for in full. There are no upgrades or activation fees. AT&T’s Next plan requires subscribers who have financed the purchase of their device to make all of their remaining installment payments in one lump sum before upgrading.
Correction: This post has been corrected to accurately reflect the terms of T-Mobile’s new phone payment plan.
This article originally appeared on Recode.net.
