Apple iPhone 11 (Grade A Refurbished)

Apple iPhone 11 (Grade A Refurbished)

Potential Arbitrage Scenaro?

Verify for your situation, but in our case, as existing AT&T customers (I believe Verizon has a similar program), we can trade in an iPhone 11 for the latest iPhone 15 for “free”. So if your current phone does not quality, using this phone as a trade might still get you a heavy discount on the latest iPhone.

“Free” being in quotes for three reasons:

  1. You’re giving up your $300 iPhone 11.
  2. The carrier locks you into their service for 36 months since “free” means they charge you the full price divided by 36 on each month’s bill + gives you a matching credit for 36 months. Leave prior to 36 months or lose or break the phone and you’re on the hook for the remaining payments. It is an actually a zero interest Installment Loan where they make the payments as long as you comply with the terms. (Guessing “Dave” would not approve.)
  3. If your state has sales taxes, you typically pay those sales taxes on the full phone price up front or over 36 months on your bills.