Always Read the Fine Print

May 13, 2015

Last month was my son David’s 15th birthday. For years, he has been asking for a cell phone, and now that he is a freshman in high school, has maintained good grades, and has shown at least some level of responsibility, his mother and I decided he was ready. I agreed to add David to our cell phone plan on one condition: that he buys his own phone. (Susan and I have found that the kids are more likely to take care of their devices when the cost to purchase it comes out of their own pocket.)

David agreed, and as we shopped for cell phones, he found one that was originally priced at $150, but was on sale for $100, plus a $50 rebate for a total of just $50. I told David that if he gave me the $50 now, I would buy the phone, but HE would have to take responsibility for completing the paperwork to get the refund. Otherwise, I’d expect the other $50 from him later.

The phone arrived within a few days, but our entire family was out of town on spring break so we didn’t activate the phone until we got home about a week later. I kept reminding David that he needed to mail in the rebate form unless he wanted to pay me the remaining $50. It took a couple of weeks, but he finally filled in the rebate form, made copies of his proof of purchase, and mailed the paperwork to the address on the rebate form.

A couple of weeks had gone by and I had heard nothing so I asked David to check on the status of the rebate. He logged in, and much to his surprise, the request had been denied! As it turns out, in order to qualify for the rebate, not only did he have to BUY the phone during the promotional period, but he also had to ACTIVATE it during the promotional period. Had we been home when the phone first arrived, we probably would have met both requirements, but as it turned out, we did not activate it in time.

I see at least three things to take away from this experience:

  1. Always read the terms

It sounds like common sense, but in this example, my son was so excited to get a phone that he only saw the after-rebate price and did not consider the terms for earning the rebate.

  1. Understand the requirements

Once he understood the terms, my son would then have to consider whether or not he could fulfill the requirements. In this case, he needed to purchase AND activate service, and then fill out and mail in the paperwork. It doesn’t sound like much, but for a teenager filling out paperwork might be enough for them to say “no thanks.”

  1. Don’t let the promotional tail wag the dog

Just because there is a promotion does not necessarily mean that you have to purchase the item. For David, he evaluated his other options and felt this one was best for his situation, but I know that I have personally made rash financial decisions because the promotional clock was ticking. Instead, ask yourself if you really need this item, and if this is a decision you would make even if there was not a promotion. That doesn’t mean you shouldn’t consider the promotion as part of the decision, but just because you can get free lodging at a Disney resort may not mean that it is time for a Disney vacation.

This is certainly not the first time the fine print has been overlooked. It probably won’t be the last. But for my 15-year old son, it will be a good lesson that will serve him well later in life.