Understanding Sprint Early Termination Fees

If you are trying to cancel your contract with Sprint, you might see an automatic charge on your account called the early termination fee. What is it? Can you get a refund on it? We explain.

Why do phone companies charge early termination fees?

An early termination fee is a fee that you are charged as a customer when you cancel a contract before its official end. This can apply to just about any kind of contract into which you enter, like an apartment lease. 

When it comes to Sprint, the early termination fee is applied to any customer that has a one or two-year contract who cancels before the end of that contract. Theoretically this money helps to recuperate some of the losses that’s Sprint in doors when they lose you as a customer. Of course, sometimes these fees can seem excessive and go well beyond recuperating costs.

Are early termination fees legal?

Early termination fees are typically legal so long as they are included in the terms and conditions and you are made aware of them.

When do I have to pay an early termination fee?

Most of the time you have to pay an early termination fee under one of two conditions:

1. The first is that you choose to cancel your contract with Sprint prematurely.
2. The second is that you don’t pay your bill and Sprint cancels your service and your contract, and they charge you the early termination fee.

Either way it boils down to the same thing: if your contract is cancelled prematurely you have to pay the fee.

How do I know if my contract with Sprint has an early termination fee?

Take some time to read the fine print from the Sprint terms and conditions and your individual contract. This is where you will find out whether you have an early termination fee. You can always get a copy of your contract from customer service.

Can Sprint charge an early termination when I don’t owe it?

According to the terms and conditions, if you have a one-year service agreement or a two-year service agreement with Sprint, and you cancel your agreement prematurely, you get charged an early termination fee. 

The early termination fee information is available in your service agreement under the “term commitment” section. The fee is prorated based on how much of your remaining contract is left and the rate is based on your contract specifically. This information should be disclosed to you when you sign your initial agreement. You can always speak with customer service to get information on the exact amount it will cost you.

In California in 2008, Sprint went to court where it was determined that the early termination fees they charged at the time were illegal. 

Can I try to negotiate a lower termination fee with Sprint?

Yes, you can always reach out to Sprint customer service and try to negotiate for a lower fee. If they are inflexible, another option is to reduce your monthly bill to the lowest possible service and then let the contract expire. Just be sure you stay within the confines of the terms of your contract.

I’m being charged an early termination fee but I shouldn’t be, what can I do?

You can take action. With FairShake we can guide you through the next steps. We can help you get the refund you deserve. 

Start a claim now…