[Originally posted on 3/10/16. Reposted on 9/9/16 due to the iPhone 7 release. Note: the AT&T Access More credit card is currently unavailable for signup.]
The AT&T Access More card from Citi offers a signup bonus of a free phone worth up to $650. In this post, we’ll clarify the various aspects associated with this bonus, and how to efficiently maximize the phone offer.
Contents
- 1 Signup Bonus Requirements
- 2 How to Buy the Phone
- 3 Maximize the $650 Value
- 4 Selling or Giving Away the Phone
- 5 Sales Tax
- 6 Monthly Phone Service Fees
- 7 Cancelling Mid-Month
- 8 Early Termination Fee
- 9 Two Hard Pulls
- 10 Existing AT&T Users
- 11 Signing up as an Additional Line
- 12 Mixing Names
- 13 Activation Fee
- 14 Unlocking the Phone
- 15 Shopping Portal & Bonus Offers
- 16 $95 Annual Fee
- 17 Final Thoughts
Signup Bonus Requirements
To be eligible for the $650 phone credit, you must spend $2,000 within three months (or slightly longer).
- The phone can be purchased whenever you’d like; it doesn’t have to be done right away.
- The $2,000 spend must be done within the first 3-months, regardless of when you plan on buying the phone.
- You can buy the phone right away, even before doing the $2,000 spend, and you’ll get the $650 credit after meeting the spend.
- The purchase of the phone will count toward the $2,000 spend requirement. For example, you can buy a phone costing exactly $650, then spend another $1350, all within the first 3-months, and you’ll get the $650 phone credit.
- The $650 does not count any taxes, fees, shipping, or wireless service.
- “$650 credit will post within 3 to 4 billing cycles.” In practice, for me it posted on the second statement closing date after the spend was met, i.e. slightly over a month after meeting the spend.
- The phone can cost more of less than $650; the credit will equal the cost of the phone or $650, whichever is less.
- Some phones may have extended delivery promises based on available inventory, and those are fine to order as well.
- Signup bonus is only eligible when paying for the phone fully at the time of purchase, not on a 2-year wireless agreement, nor on a pre-paid or AT&T Next.
Before signing up for a Citi card, read 16 Things Everybody Should Know About Citi Credit Cards.
How to Buy the Phone
Use the link found in your Citi credit card login, provided to you in an email from Citi, or shown to you immediately at the time of account approval. It will take you to the ATT site to buy a phone and signup on a service plan. The link allows Citi to track the purchase information so that the $650 credit will hit automatically.
If something goes wrong with that tracking, Citi has been known just to ask for verification on the phone and service purchase, and they’ll manually credit your account with $650.
Similarly, reports indicate that you can actually buy the phone in an AT&T store and get the $650 manually credited by Citi by faxing in your name, account number, and a copy of the receipt to 1 866 799 5591. This is particularly helpful for phones which aren’t available for purchase online or to partake in some other promotion which needs to be done in an ATT store.
Once again, the credit won’t come automatically, but you should be able to get it credited manually.
Maximize the $650 Value
To get the full value of the bonus, any phone over $650 will work. See all the phone options here and more details in this post.
If you want a phone close to the $650 range, take a look at the iPhone 6S with 16 GB which costs exactly $650. Or look at the Galaxy S6 with 32 GB which costs $685.
Selling or Giving Away the Phone
According to the experience of a friend, it’s possible to do the whole phone deal without ever having to open the package. The phone can thus be sold as new or given away as a new gift.
The ATT service will begin on its own when you signup, and after 15-days you can cancel service without ever having to open the box.
Sales Tax
Bear in mind that there is sales tax on the phone purchase. Sales tax is excluded from the signup bonus so you won’t be able to get that paid for with the bonus, even if you buy a cheaper phone.
Sales tax ranges from 0% to 10%, so a $650 phone will have between $0 and $65 added for sales tax.
Note that the sales tax is based on the state where the phone is shipped, not the billing address on the plan (personal experience).
Monthly Phone Service Fees
To get the $650 bonus credit, you need to signup for a phone plan with AT&T and keep the service for at least 15-days. No contract is necessary since you are buying the phone outright, but you must signup for ATT service and keep the service for 15-days. After 15-days, you can cancel the phone service.
The cheapest plan offered by AT&T is for $45 per month (add a few dollars for taxes and fees – mine are $4). This plan is for 300 MB data which is the plan with the lowest data; there are no plans with no data at all.
The cost of this 300 MB plan is broken down as follows: $40 phone line + $20 data – $15 discount = $45. The second-to-cheapest plan is $55 per month for 2 GB of data, an extra $10 for the added 1.7 GB.
My experience was that the monthly service fees began from the date that I ordered the phone and plan, even before the phone came in the mail. It came quickly, though.
Cancelling Mid-Month
Updated 9/18/16
Reps give out conflicting information regarding getting a prorate for cancellations in mid-month.
The correct information, I believe, is that they will not prorate once the month started, and you’ll pay for the full month.
Early Termination Fee
A lot of people get thrown off when they see mention of a large Early Termination Fee (ETF) for closing the phone line within two years. In fact, there is no EFT at all; the fee is only for someone who signs a contract, usually because they aren’t paying for the phone outright.
With this Citi deal, you buy the phone outright and pay for it fully with your Citi ATT credit card, you aren’t under any contract at all. The 15-day service requirement is just a provision from Citi in their signup bonus offer; on the ATT front, you are under no contract or obligation at all, and the line can be canceled as you wish.
Two Hard Pulls
We’ve discussed in previous posts (here and here) that when doing this $650 phone deal, there will end up being two hard pulls on your credit report. One, the pull when signing up for the Citi credit card (this one was Experian for me). Two, an Equifax pull when signing onto the ATT phone plan after you get the credit card.
If you are an existing AT&T post-paid customer or if you add yourself to someone else’s post-paid plan you’ll save the second pull as we’ll discuss below.
Existing AT&T Users
Existing AT&T customers are eligible for the $650 phone credit as well. They do have to keep the phone line for 15-days, just like new customers. Click to AT&T using the special phone offer link, and use the phone upgrade option in your AT&T login to order a new phone.
Existing AT&T customers have the big advantage that they won’t get a second credit inquiry for phone sign up, as noted above.
Signing up as an Additional Line
Many people ask about getting the free phone as an add-a-line on the plan of family or friend. This idea does work, and it’s probably the best way for non-ATT customers to take advantage of the phone offer.
When an existing customer adds a line, no hard inquiry is done. If you have a friend/family who can add you to the plan and work with you on ordering the new phone, this is an excellent option. Click the special phone link from Citi, and buy the phone there while adding yourself to the plan. Or add yourself first and then use the upgrade option to purchase a new phone.
Aside from sparing you the hard pull, using this option will also save you money versus starting as a new customer. Since you are adding a line on an existing data plan, you won’t need to pay any data costs, only the add-a-line cost.
The cost of adding a line should be $15 and will save money over getting a new plan yourself.
Mixing Names
If John has the ATT credit card and Jane has an ATT phone, can they upgrade Jane’s phone using the phone offer from John’s card?
I don’t know.
I would venture to guess that it would work automatically based on the link tracking, but if something goes wrong with the automated tracking, you won’t be able to convince Citi to credit you. This is all just a guess, though.
Activation Fee
The Fine Print on the credit card application mentions,
Activation Fee: $15 per line.
In practice, I got the $15 fee credited back to me, for reasons which aren’t clear.
Unlocking the Phone
AT&T and TMobile phones use GSM while Verizon and Sprint use CDMA (more info here). Since the free $650 phone is purchased through ATT, it will be GSM and will only be usable for ATT, T-Mobile, or another carrier who uses GSM. Newer model phones come both GSM and CDMA enable, reportedly.
The other issue to keep in mind before switching to another carrier is that you’ll have to get the phone unlocked by ATT; carriers often lock phones to their service.
When paying full price for the phone (as we do with this Citi-ATT deal), you have full rights to get the phone unlocked immediately. I chatted with a couple of reps, and some thought that it needed a 60-day wait, but – in the end – all agreed that when full price is paid it can be unlocked immediately.
One report indicates that when paying full price, it comes unlocked automatically. However, most people find that it needs to be manually unlocked ATT upon request.
A couple of reports suggest doing the unlocking before even activating the phone, and this helps it go smoothly (more info here). I would recommend doing so as I tried unlocking afterward and it wasn’t so easy. In fact, I’m not sure if the phone ever ended up getting unlocked at all. I’m sure I can get it done if needed; it just hasn’t been necessary for me yet.
Shopping Portal & Bonus Offers
When you buy the new phone, it’s supposed to be done through a special phone link from Citi, as noted. This link tracks your purchase and gets the $650 credited automatically.
Since you are using the special link, it won’t be possible to take advantage of lucrative phone signup offers; there are some hefty portal bonuses for signing onto such a plan, as much as $150 from Ebates or other portal bonuses. There may be other switch offers and Plenti offers as well, see this Milestomemories post for some stacking ideas. These bonus offers typically require that you lock yourself in for 2-years, and most of us don’t want to do that.
If you are new to ATT and are willing to lock yourself in, there may be a roundabout way of getting these bonuses while still using the correct link from Citi. First, signup for a new ATT service plan directly using any portals or signup offers. Then, buy the new phone using the link in your Citi credit card login, and choose the phone upgrade offer, as discussed above. I haven’t tested this out, but I don’t see why it wouldn’t work.
You may end up paying for an extra week or two of service, but you’ll be able to take advantage of all the lucrative offers.
$95 Annual Fee
When putting a value to the signup bonus, we’d typically say that it’s worth a maximum of $650 minus the $95 annual fee, or $565. However, remember that there is an annual bonus of 10,000 Thank You points, which is worth $95+ to most.
Since you already spent $2,000 to meet the signup bonus requirement, it would require an additional $8,000 in spend by year’s end to get the 10k bonus. The card has a lucrative 3x category for many online merchants, and also for ATT purchases; read my experiences in the post Testing Out My Shiny New AT&T Credit Card.
If you want to cancel the card at year’s end, you should be able to get the 10,000 bonus before cancelling since Citi usually gives a 30-day leeway to get the annual fee refunded.
If we’ll assume the annual fee is offset by the annual bonus, we can put the value of the signup bonus at pretty close to a full $650. Even if you don’t use ATT service, the only fee involved is the cost of one-month phone service, around $45 or $50, leaving a $600 bonus.
Final Thoughts
Many people find some of the aspects to this bonus confusing, and hopefully, this post will help with that. For someone who needs a new phone, $650 is a nice value to get from a signup bonus.
One interesting note is that we usually assume that the banks are suckers, and we get the better of them by doing various bonuses. Yet, I signed up for the card five months ago, and I’m still on ATT now. I do plan on switching soon, but, still, they’ll have gotten their $650 back from me and won’t end up at a loss. Not a bad customer acquisition cost. I wonder who foots the $650 bill, Citi or ATT.
View Comments (105)
For what it's worth...
1) Bought iPhone 7 with Citi AT&T AM card
2) Finally got the iPhone after waiting four weeks due to backorder
3) Signed up for the plan with 2gb of data (did not intend to keep, as I am a VZ customer)
4) Accidentally cancelled AT&T service two days before the 15 day requirement (I've been sweating bullets for a month over this but there was nothing I could do so I decided to become a data point)
5) One statement cycle later, I got the $650 credit
I think there were not any controls in place to verify the 15 day service requirement, and it was just a "scare tactic" to prevent people from possibly returning during the buyer's remorse period and collecting a free $650. Because of this, I was able to get a prorated month and only ended up paying about $40 total (with taxes) for the first, only, and final AT&T service bill.
Unlocking:
1) before turning the phone on, I did an unlock request online with AT&T with the IMEI
2) got the unlock approval email two days later
I am now using the 128gb Jet Black iPhone 7 on T-Mobile's ONE plan from this past weekend's buy two get two free (lines) deal and my cost was about $240 for the phone.
Thanks for sharing
My link wasn't working so citi said I can buy in store and fax the receipt. But my store wouldn't sell me one for full price, they would would only sell me one on the AT&T next installment plan.
Should I try a different store?
Probably best, or call Citi to ask what to do?
Hmm, hard to believe they won't sell you a phone fully-paid. Maybe call first and verify before going in. Perhaps it was a mistaken employee.
Hey suggestions ! I learned a lot from the info - Does anyone know where my assistant might locate a sample DS-82 example to use ?
I have a friend with AT&T service, can we go to a store together and buy an IPhone? Will this mess up his upgrades? TIA
You're supposes to buy it online via the dedicated link. You might be able to get a manual reimbursement with store purchase.
Not sure what you mean about the upgrade.
The Ebates $150 offer says you need a 2 year plan. If I start a 2 year plan, but I pay for the whole phone upfront, will there be an early termination fee?
I'm not sure. Usually, paying upfront means you aren't locked into anything, but there might be some contracts that work otherwise.
i have the more access card and want to use the 650 credit, on att website there seems to be offer of 650 credit when you trade in eligible device, i want to get the iphone 7 plus 256gb it about 960 on website, question is can i use both offers?
No, you can't double dip on the same phone. To get the $650 trade-in you have to buy the phone on AT&T NEXT (installment plan).
So the optimal thing to do if you have an existing upgradeable line is this:
- trade in old iphone 6 for the $650 credit on att next
- use the att link to buy ANOTHER phone, add the device to the existing plan, unlock, cancel add'l line, and sell the phone.
Right?
Yes, at least that's what I am doing. I did the opposite order so didn't have to deal with setting up an additional line.
Hard to say for sure. I'd guess that so long as the original purchase is made via the special offer link, then you'll get a rebate of up to $650 off the purchase price.
I don't know how that particular offer work in terms of when payment is made for the phone.
Anyone have any data points on using Plenti points to pay the first month bill? Thinking of signing up for Plenti to get points for the $650 purchase and also moving some MR points at the increased rate to cover the first month.
You should be able to pay your ATT bill in a retail ATT store with Plenti points, including the first bill.
I am guessing that there a bunch of us that ordered the new iphone7. I am going to sell mine once the 15 days are up.
I had a bit of a confusing conversation with the CSR last night about if service is activated (and, that I don't need to open the box). I think service is active (when calling the number, I get "voicemail not set up" rather than an invalid number. I said I was going to give a a gift in a few weeks and wanted to make sure everything was OK when the box was eventually opened.
CSR said my bill would cycle on the 19th, so I would have pro-rated charges from the 16th to the 19th, and then a full bill on the 19th.
Anyone else have more info?
I think activation starts on order date.
Yes, you'll end up paying a full month plus a few days. When I did it, they also charged me a prorated few days then a full month.
I am trying to unlock my iphone 7 and the unlock website isn't recognizing my IMEI #? It's saying that its not an AT&T phone. Does anyone have any ideas?
do not select AT&T customer
I know the steps and still not working.....
Thanks Justin, that worked for me.
Looks like they changed the Annaul fee to $0 and only need to spend $1000 in first 90 days....
That isn't for the access more card.