20yrcustomer
Level 2: Rookie

Fair Market Value - iPhone XS Max

Answered

Does any know what the Fair Market Value calculation for an iPhone XS Max is?

 

It’s quite a strange situation. I’ve been forking our cash for mine for 2 years and could’ve bought it outright with the amount I have paid. I leased the phone in order to be able to swap it out but Telstra has apparently unilaterally cancelled that option so I’m basically left with a useless lease plan that I never would’ve entered into if I’d known the whole point of it would be undermined, and a phone I’ve effectively paid for. Now I’m being told I have to return it or pay the Fair Market Value. If the charge is anything other than but nominal I will be pretty disappointed. 

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LukeV
Support Team
Support Team
Accepted Solution

Re: Fair Market Value - iPhone XS Max

Fair market value of a lease phone is calculated at 3% per month of the lease ie 24 x 3% = 72%, so FMV is 100-72%=28%. This doesn't take into account physical condition, I'd recommend visiting your local Telstra Store  https://tel.st/n7f9k for an accurate valuation.

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8 REPLIES 8
bs_
Level 1: Cadet

Re: Fair Market Value - iPhone XS Max

Same situation. Mine has a cracked back so I have to pay $190 for returned damaged device. That’s with Swap Assure rates. I was led to believe (& the contract fine print states it, albeit ambiguously) that Swap Assure would reduce the cost of a damaged phone in the first 12 months or if after 24 months, there is no cost for returned damaged phone. It even says that it covers lost/stolen devices.

 

After paying almost the entire cost of the phone over the last 24 months, Telstra won’t even uphold their Swap Assure terms. Somehow the terms I contracted under can be changed at any time & Swap Assure doesn’t cover lost/stolen. If phone is not returned ill be charged fair market value.

 

Which is estimated at around $600. I can buy refurbished iPhone XS Max on Amazon for less. Plus, as I’ve mentioned, I’ve almost paid for the phone over the term of the contract.

 

I also recall that with Swap Assure you could keep the phone at the end of the contract for a small fee? Can’t reaffirm that, but not anymore. No return, $600 penalty!

LukeV
Support Team
Support Team
Accepted Solution

Re: Fair Market Value - iPhone XS Max

Fair market value of a lease phone is calculated at 3% per month of the lease ie 24 x 3% = 72%, so FMV is 100-72%=28%. This doesn't take into account physical condition, I'd recommend visiting your local Telstra Store  https://tel.st/n7f9k for an accurate valuation.

Need help? Check out our Community Wiki or Support Portal || Looking for a new mobile? Order online today || Get help with any Tech at Home with Telstra Platinum || Don't forget to tag answers as Accepted Solutions and give a Like to the member(s) who helped you out.

All moderation actions are supported by the CrowdSupport Community Guidelines

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kc3302
Level 2: Rookie

Re: Fair Market Value - iPhone XS Max

You're not the only one. I'm in the same situation and have had to pay the lease cost each month (money down the drain) until the phone I wanted was released, which has just happened. 

As usual with Telstra, they have not actually gotten rid of the ability to upgrade your phone before the standard 2 years is up, they have just created a new name "Upgrade & Protect" and changed the conditions and excluded people who signed up to their previous similar plans.

EmergConsult61
Level 1: Cadet

Re: Fair Market Value - iPhone XS Max

So I also have a leased phone that is up in a day or two. I am thinking of upgrading to the 12Pro Max does this mean I have to pay $600 to do so, based on the conversation here? Also, is the 12 Pro Max a good phone or does apple have a new one in the works? I want a larger phone as I made a mistake thinking I ordered the larger phone 2years ago when I leased my current one! 

Chans
Level 1: Cadet

Re: Fair Market Value - iPhone XS Max

Can I ask how you got on. After paying a plan for 27 months telstra are saying It will be $639 to purchase my phone. Seems very steep. 

Alex369
Level 1: Cadet

Re: Fair Market Value - iPhone XS Max

Feeling the exact same thing right now. Would never have entered this contract if I knew I’d not be keeping the phone at the end. 
Think I’ll have to go into the store to get the Fair Market Value. Annoyingly, they’ll resell it on so they’ll once again make profit. 
It’s all very disappointing. 

EmergConsult61
Level 1: Cadet

Re: Fair Market Value - iPhone XS Max

This is just ludicrous! I recall without looking at my contract that leasing the phone meant one could upgrade at the end of the two years by returning the phone? That is the entire reason I leased it this time around! So are they now saying you can’t and if you do return you have to pay for it...I’m confused. I received a message telling me to return or will have to pay! 

Jupiter
Level 25: The Singularity
Level 25: The Singularity

Re: Fair Market Value - iPhone XS Max

If you don't return the phone, you will have to pay for the phone.

 

If you return the phone, there is no extra payment to be made, but since there is no such thing as a Lease Plan anymore, your new phone will need to be purchased either outright or over 12 or 24 months repayment period.

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