Attorney General Calls T-Mobile's No Contract Ads "Deceptive"; T-Mobile Agrees To Change Them

T Mobile Simple Choice Plan

Is it just me, or has T-Mobile been in the news a lot lately? Recently T-Mobile got rid of contracts and went to a new model of plans and device pricing for their network. Along with launching the iPhone 5, which I hear is selling like gang busters. While their Simple Choice plans may seem pretty self explanatory to most of us, especially those of us that are up on the latest wireless news, others may not find it so easy to understand.

Washington State Attorney General, Bob Ferguson is taking issue with T-Mobile’s new ad campaign, calling the ads “deceptive”. This comes just one month after T-Mobile released the new ad campaign and no contract price plans. Ferguson doesn’t believe that the Magenta carrier is being transparent enough with the obligations when you sign up for a new T-Mobile account. For those that don’t buy the phone in full, the customer is basically still in a contract. Because you’re making monthly payments for 24 months until the phone is paid off, or if you want to leave you’ll have to pay the phone off still.

Ferguson’s office released a press release, that says:

Instead of a ‘two-year sentence’ for wireless service, consumers face a different two-year ‘sentence’ to avoid a lump-sum balloon payment for the phone

While that does make sense, T-Mobile has agreed that they will change their ad campaign and make it a little more transparent for their customers. T-Mobile will make the requirements more clear both in marketing and training their employees in their retail stores. In addition, anyone that signed up with T-Mobile between March 26th and April 25th can request a cancellation and get a full refund. Finally, John Legere and the rest of T-Mobile will have to cough up $26,046.40 in legal fees for the Attorney General’s troubles.

How many of you think that T-Mobile’s ad campaigns have not been clear on their new UNcarrier model? I thought it was pretty clear myself. Let us know what you think in the comments below.