Act this weekWhat happenedNew York's Attorney General settled with T-Mobile over its "Price Guarantee" plans, which promised no price hikes but then raised prices.
Who is affectedNew York customers on T-Mobile One, Simple Choice or Magenta plans sold between January 2017 and April 2019, especially legacy T-Mobile One 4G users.
What to do- 1Check whether your plan is a legacy T-Mobile One, Simple Choice or Magenta plan.
- 2Look for a notice from T-Mobile or the Attorney General about your options.
- 3Compare the choices: cancel with a final month refund and $25, a free $250 5G phone, or a $150 credit.
- 4Pick one option before any deadline, and keep your account records.
T-Mobile told customers it would never raise their prices, then raised them. New York Attorney General Letitia James has now reached a settlement with the carrier over those "Price Guarantee" plans. Some New York customers can choose a refund, a free phone or a credit.
What changed
From January 2017 to April 2019, T-Mobile marketed Price Guarantee Plans across its T-Mobile One, Simple Choice and Magenta packages. The state says the promise of no price hikes was broken a few years later. James's office says hundreds of thousands of New Yorkers were misled.
The deal also freezes rates on these plans through at least 2029. The freeze is legally binding.
What customers can get
Customers on legacy T-Mobile One 4G plans, including those who later moved to 5G, have three choices:
- Cancel service and get the final month's fee back, plus a $25 credit.
- Upgrade to a $250 5G phone for free.
- Take a $150 credit toward a phone with a retail price over $250.
The $38 million figure
The attorney general's office puts the total value at up to $38 million. T-Mobile disputes how that number should be read. A spokesperson said it is an estimate of optional benefits that long-standing customers may choose to use, not the amount paid out. T-Mobile says the agreement includes about $98,000 paid to the state. Expect the real payout to depend on how many people claim.
Who can relax
This settlement comes from New York's attorney general, so it is aimed at New York customers. People who joined T-Mobile outside the 2017 to April 2019 window, or on other plans, are not named in the settlement terms we have. The material also names the options above for legacy T-Mobile One 4G customers. It does not say whether Simple Choice or Magenta customers get the same choices.
What to do
The alert box above lists the steps. The main point is to confirm which plan you have, read any notice you receive, and keep your account records before choosing.
What happens next
Several details are not yet clear, including claim deadlines and how customers will be notified. Separately, a federal court in Seattle ruled for T-Mobile in 2025 and sent customers toward individual or mass arbitration, a private process outside the courts. Mass arbitration efforts are moving forward for customers who signed up between 2017 and 2022 under the "Price Guarantee" and "Un-carrier" plans.
The takeawayIf you are a New York customer on an older T-Mobile One, Simple Choice or Magenta plan, check your options and watch for a notice before choosing.