T-Mobile's New $20-a-month iPhone 6S Deal Defeats Apple's Own Rate; Offer Deemed Too Good to be True

Loyal Apple users can rejoice to what T-Mobile has to offer the day after Apple announced the latest addition to its iPhone family. T-Mobile just undercut Apple's starting price by $12, making it the most affordable deal in the market. T-Mobile recently announced it will offer $20 per month on its upgrade plan called "Jump On Demand."

September 9 was a big event for Apple Inc as it announced not only its new iPhones, the new iPhone 6S and iPhone 6S Plus; it also unveiled their new upgrade plan which allows the users to pay the base rate of $32 for an unlocked version. That amount also includes the Applecare Plus and complete ownership of the unit after 24 months. Apple will also allow the user to switch models every year as it will restart the contract. This is to guarantee that the user will always have the latest model.

But T-Mobile eclipsed this offer with their very affordable price that starts at $20 for 18 months and after which users will have an option to return the unit or pay T-Mobile $164 to completely own the unit.

According to the published report of Business Insider, the overall price difference for a 16GB iPhone 6S of T-Mobile from that of Apple is $253 with $524 vs. $777 in favor of the cellular network.

This should be good news except that it comes with a catch - three catches really. According to CNN Money, there are a few things that consumers need to consider before signing up to the "Jump on Demand" plan. One of these things is it's not a purchase. You don't pay the $20 a month to own the phone, you only lease it. Number two is, yes you can own it but only after the 18^th month period and cashing out $164. Third and not the least would be the fact that this offer comes from T-Mobile. It's dying in overall network performance especially because it can't offer good coverage in the suburbs.

Mashable also reports that if the customer is unhappy with the Jump on Demand plan, the phone can be unlocked to work under a new carrier. However, the customers will lose the $20/mo rate. They will have to pay full rate to own the unit or continue to pay T-Mobile but with an increased rate.

Overall it sounds like a good deal only if you previously like T-Mobile's service and only if you're also willing to lose the Applecare Plus add on that comes with the $32 plan that Apple offers.