The hidden cost of the Samsung Galaxy Tab via Verizon Wireless

Tue, Nov 23, 2010


The Samsung Galaxy Tab is, or perhaps was, billed as a true competitor to the iPad, all this despite the fact that it sports a smaller 7-inch screen and hasn’t exactly received glowing reviews from tech reviewers thus far. That notwithstanding, if you purchase the Galaxy Tab with a Verizon Wireless plan, there are a few pitfalls you might want to be aware of.

First of all, there’s a flat rate $70 restocking fee, and users who return the device after 3 days are out the $35 activation fee to boot.

Second, third, and fourth, CNET’s Joel Evan’s explains his experience as a Tab owner with Verizon.

The receipt that you get when you purchase the Tab has an estimated monthly bill on it. Since I opted for the $20 per month for 1GB, the first estimated monthly payment was a whopping $88.36!! Needless to say, this sounded alarm bells so I called Verizon Wireless to discuss it. Here’s what I found out:

1. Verizon bills you for one month in advance: In my case the service started on 11/11/2010, and the bill date was 11/12/2010. So, I owed 65 cents for that partial month.

2. My first real month is $20. That’s what I figured, but then it gets worse. Because the activation fee is on the first month, add $35, plus $5.67 for taxes and fees. That puts the first bill at $61.32–approximately. Not quite the $88.36 estimated, but still not just $20 for a month of broadband.

So, after finding out the two points above, I figured maybe I’ll just cancel the broadband for a month so I can think about whether or not I need to pay $20 for 1GB. Well, even though it’s advertised as “no contract”, Verizon Wireless will still hit you with a $35 reconnect fee if you stop and then want to re-start your broadband account. Thankfully, there’s a workaround. If instead of deactivating your account you “suspend” it, there’s a $15 fee for suspending, which my rep was kind enough to credit.

An iPad plan with no hidden fees, and on any tier, sounds pretty good right about now.


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