T-Mobile drops credit check for 5G home internet service
T-Mobile is about to launch its 5G home internet service with no annual contract and, more importantly, no credit checks. This service is the first of its kind.
5G home internet service is available to Metro by T-Mobile users and can be purchased at any of more than 7,000 Metro stores across the county.
T-Mobile Home Internet 5G: landline, prepaid, wireless, no annual contract, no credit check
T-Mobile’s home internet service for Metro is, according to T-Mobile, “no BS home internet for just $50/month. It’s fast, reliable, prepaid home broadband that works on T-Mobile’s breakthrough 5G network.”
The service is offered for a flat rate of $50/month with an automatic payment option and a $99 payment option to get the 5G gateway. And of course, the revolutionary feature of the new home internet service is the absence of both an annual contract and a credit check.
The significance of the “no credit check” feature is that it will be easier for users to acquire the service.
For those wondering, a credit check as part of the credit scoring system is a convenient way for sellers to assess the creditworthiness of their customers. This essentially reduces costs for sellers, as they won’t have to research each customer’s financial history to determine if it would make sense to offer that customer a long-term payment plan.
As useful as it is, the credit scoring system has its drawbacks. It may either have incorrect customer information that will take some time to resolve. It also may not paint a complete picture because a person simply does not have enough recorded transactions to make an accurate estimate of “wealth”, for lack of a better term.
Thus, it may be difficult for those with poor credit to acquire certain services that are considered necessities. They should go through hoops before doing so.
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Why? Bringing more internet to more homes
For T-Mobile, home Internet is a must for every home in the country. It is used for education, for work, for entertainment and for connection. That’s why it removed the credit check requirement.
The tech giant even presented statistics to back up its claim:
- More than 40 million US residents do not have home internet
- 15% of households face an Internet service monopoly in their area
- 35% of households have this same problem in lack of competition
- Internet Service Providers Rank Last for Customer Service Satisfaction
The above factors led T-Mobile to take the risk and forego credit checking and other features that annoy customers but reassure sellers.
Speed difference between metro by T-Mobile user and non-metro user?
Earlier, the public speculated whether 5G home internet service would be different for Metro by T-Mobile prepaid users and T-Mobile postpaid users.
Contacting The Verge via email, T-Mobile rep Elizabeth Seelinger clarified things and said there would be no difference.
Why are there two versions in the first place? For those who don’t know, MetroPCS was one of the largest mobile telecommunications networks in the United States ten years ago. But in 2013, T-Mobile bought the company. Instead of completely decimating the competition, T-Mobile renamed MetroPCS to Metro by T-Mobile. The latter brand continued to operate with some of its own services and products, albeit under T-Mobile’s oversight.
For those who want to get the service, it is important to have an eligible address. Potential users can check if their address can be served by T-Mobile 5G Home Internet through this link.
Currently, T-Mobile 5G home internet service is available in 30 million homes in the United States.
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