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T-Mobile Ending Autopay Discount for Credit Cards

T-Mobile Ending Autopay Discount for Credit Cards

Old Feb 18, 23, 8:02 am
  #1  
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T-Mobile Ending Autopay Discount for Credit Cards

Suprised someone else hadn't already started a thread on this. I think it's relative to FT as a "points & miles" site.

Looks like the "uncarrier" is removing the ability to get the autopay discount when paying with a credit card. They will still offer the discount if you use debit card or direct link to checking account. Given T-Mobiles proclivity for data breachs, not sure I'm keen on giving them direct access to my checking account.

We have autopay setup to our Chase Ink for the 5X ultimate rewards. Will have to do some math to determine whether that is worth losing the autopay discount over (we only have two lines, so not huge monthly spend)

Sources (and quick Google search will get you plenty of other sources):
https://www.cnet.com/tech/mobile/t-m...scount-in-may/
https://tmo.report/2023/02/t-mobile-...ese-customers/

Regards
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Old Feb 18, 23, 8:41 am
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I have 5 lines with $25 autopay discount. My Chase Ink Preferred is only 3x for T-Mobile. I probably will have to switch. Have to really think about it.
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Old Feb 18, 23, 10:17 am
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as early as May it seems.. and I made my final payment on my phone today ;-)
They are providing less incentive for me to buy my next phone through them. Especially when, at the top of their site, there's a warning about a data breach! As OP says.. Do I want to risk direct access to my bank account?
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Old Feb 18, 23, 11:21 am
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T-Mobile is an industry leader in repeated data breaches. Positive takeaway was that they provided the incentive needed to lock down my credit reports.
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Old Feb 18, 23, 12:23 pm
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I've been reading the forums regarding this, and am not too put off by it. I am considering several possible workarounds since I have 12 lines, 8 that qualify for a $40 monthly discount.

1. Open an account strictly for this, with a debit card and no other fees or charges. a monthly deposit is one & done. No link to my real accounts.
2. Pay 90% of my on line charges early with a credit card and let the remainder go to a debit card yet to be determined. Might work, might not. I'd still get most CC perks.
3. Register a debit card with Apple Pay, then use that for payment. High security with that payment service, so little risk if another data leak occurs. (When, Perhaps?)

I intend to wait & see what the hive mind on Reddit seems to think might be best however. I have such a low monthly bill that a $40 increase is 35% of my current costs.
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Old Feb 18, 23, 1:17 pm
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If you use a debit card with T-Mo, I'm pretty sure they build a token based on your card and that they don't store the card number. So, yes, a hacker could theoretically charge the card through T-Mo's token somehow, but the money would end up in the T-Mo account. So possible, but unlikely for a hacker to figure that out and make it work for personal gain.

I think using a debit card with T-Mo should be very, very safe, frankly.
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Old Feb 18, 23, 2:09 pm
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Originally Posted by josephstern View Post
If you use a debit card with T-Mo, I'm pretty sure they build a token based on your card and that they don't store the card number. So, yes, a hacker could theoretically charge the card through T-Mo's token somehow, but the money would end up in the T-Mo account. So possible, but unlikely for a hacker to figure that out and make it work for personal gain.

I think using a debit card with T-Mo should be very, very safe, frankly.
I'm fairly ignorant regarding financial processing risks and safety issues. In the senario you proposed, would the token point the funds to solely your cellular account at TM?
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Old Feb 18, 23, 4:32 pm
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Originally Posted by draver View Post
I'm fairly ignorant regarding financial processing risks and safety issues. In the senario you proposed, would the token point the funds to solely your cellular account at TM?
I don't think so - it would be a link between my debit card and T-Mobile's bank. So the link could only be used for T-Mo to pull funds and deposit them in their account. That way it would be useless for anyone else.

It's possible that T-Mo could set it up to then deposit the funds in my account, but I don't know that they would go that far because that step of security seems a little unnecessary given that the token wouldn't otherwise help a malicious third party get their hands on the funds.
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Old Feb 18, 23, 5:04 pm
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Originally Posted by draver View Post
I've been reading the forums regarding this, and am not too put off by it. I am considering several possible workarounds since I have 12 lines, 8 that qualify for a $40 monthly discount.

1. Open an account strictly for this, with a debit card and no other fees or charges. a monthly deposit is one & done. No link to my real accounts.
2. Pay 90% of my on line charges early with a credit card and let the remainder go to a debit card yet to be determined. Might work, might not. I'd still get most CC perks.
3. Register a debit card with Apple Pay, then use that for payment. High security with that payment service, so little risk if another data leak occurs. (When, Perhaps?)

I intend to wait & see what the hive mind on Reddit seems to think might be best however. I have such a low monthly bill that a $40 increase is 35% of my current costs.
I like you 1 and 2 plans combined. I will probably open a T-Mobile Money account just for paying T-Mobile monthly charges, and set up a calendar reminder to pay off 99% of the balance with my credit card a few days before autopay.
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Old Feb 18, 23, 7:20 pm
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I get phone insurance through my credit card. No insurance if I don’t pay with credit. No bueno.
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Old Feb 19, 23, 12:03 am
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I’m ‘set up’ on autopay with a credit card, but in reality, I just use my debit card and manually pay 2-3 months ahead of time, since I like using debit and check the account fairly often.

No issues and I get whatever ‘autopay discount’ they offer.
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Old Feb 19, 23, 6:05 am
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Originally Posted by F1.Cullen View Post
I’m ‘set up’ on autopay with a credit card, but in reality, I just use my debit card and manually pay 2-3 months ahead of time, since I like using debit and check the account fairly often.

No issues and I get whatever ‘autopay discount’ they offer.
That is all fine and good, but if your credit card is the default payment method in the system for autopay, then you will no longer receive the autopay discount going forward. Paying with a debit card during the billing cycle has no bearing on whether one receives the autopay discount or not.

However, in your case, if you are paying with a debit card anyhow just change your autopay method to the debit card and be done with it. You'll continue to receive the discount in that case.

For many of us though, we prefer to earn credit card points for this spend and as another poster mentioned, some credit cards offer pretty solid phone insurance when paying with a credit card which one would forfeit if paying with a debit card.

Regards
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Old Feb 19, 23, 6:07 am
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Originally Posted by josephstern View Post
If you use a debit card with T-Mo, I'm pretty sure they build a token based on your card and that they don't store the card number. So, yes, a hacker could theoretically charge the card through T-Mo's token somehow, but the money would end up in the T-Mo account. So possible, but unlikely for a hacker to figure that out and make it work for personal gain.

I think using a debit card with T-Mo should be very, very safe, frankly.
I agree re: debit card. I don't really have a concern there. However, I probably would not allow T-Mobile direct, ACH access to my checking account.

That said, this is just a straight up consumer unfriendly price increase from the "uncarrier" that I find rather annoying.

And to be honest, I also fear its a little bit of a "canary in the coal mine" situation where I think more and more companies/businesses are looking for ways to get out of eating the credit card transaction fee.

Regard
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Old Feb 19, 23, 7:16 am
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Originally Posted by scubadu View Post
And to be honest, I also fear its a little bit of a "canary in the coal mine" situation where I think more and more companies/businesses are looking for ways to get out of eating the credit card transaction fee.

AT&T had a similar debit/ach payment policy which has been discontinued. AT&T even sent a warning for a discount loss when a customer had a debit card on file but paid early with a CC for the points and benefits.
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Old Feb 19, 23, 8:08 am
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Add Xfinity to the list. Got a notice about losing discount unless pay by bank credit.
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