If you’re thinking about terminating your relationship with AT&T, do it fast. Come June 1, AT&T is raising its early termination fee from $175 to $325. According to the company, this has nothing to do with the impending release of the next iPhone.

Right, guys. Right. That big influx of customers you’re sure to get, not to mention all of us idiots who will re-sub to get the next iPhone, we have no bearing on the decision to nearly double your ETF fees. If anything, consider this your warning if you haven’t made the switch yet. I love my iPhone – believe me, I do – but I loathe AT&T. If you think you might hate it enough to call it quits before your two years is up, be ready to part with $325.

Oh, and in case you weren’t completely convinced this is about the iPhone, AT&T said it will be lowering the ETF for feature phones, down to $150 from $175. So just those new iPhone subs get screwed? Got it.

Source: WSJ

The latest in a string of consumer disappointments around Google’s Nexus One involves stacking early termination fees on top of one another. As several customers have noticed, canceling your Nexus One service after the 14-day trial period and before 120 days has passed results in what Google calls an Equipment Recovery Fee of $350.

That’s in addition to any carrier fees in place. For T-Mobile that’s another $200. That’s $550 in fees plus the $180 you paid for the phone. The lesson? Buy the thing outright if you’re interested but unsure. It’ll run you $530, will come unlocked, and you can resell it yourself and recoup most of your losses.

You also have to wonder where that money is going. In most carrier partnerships, it’s the carrier that subsidizes the cost of the phone, hence the egregious ETF. Here, though, Google is the retailer, so presumably it subsidizes the cost itself. Why the T-Mobile fee? And if for some reason T-Mobile is covering consumer costs, why Google? Whatever the case, it ends poorly for consumers.

Verizon might be getting cocky about this whole Droid thing, but it’s becoming painfully clear that Big Red is hurting from all that missed iPhone business. In a move to recoup some of its losses to iPhone churn, Verizon may be looking at bumping that early termination fee – all the way up to $350.

To be fair, the iPhone is not the only thing to blame. People have been opening new lines on existing contracts for some time, paying the early termination fees, and then reselling contract-priced phones like the Blackberry Storm on eBay for a couple hundred bucks in profit. Well no more. The new fee will apply specifically to “advanced devices,” which pretty much covers anything Verizon deems expensive enough to make you pay for.

The only good news is that the price will decrease by $10 per month over the life of your contract. So halfway through you’re back to the original fee of $175.

Source: Boy Genius Report