Will the T-Mobile & Sprint merger blow up your phone bill?

Hanna Horvath Headshot


Hanna Horvath, CFP®

Hanna Horvath, CFP®


Hanna Horvath is a CERTIFIED FINANCIAL PLANNER™ and managing editor for growth at Policygenius. She helps produce the Easy Money newsletter, and owns all growth initiatives for Easy Money. She recently passed her exam to become a CERTIFIED FINANCIAL PLANNER™ in November 2020.

Hanna's work has appeared in NBC News, Business Insider and Inc. Magazine. She is regularly quoted in top media outlets, including CNBC, Best Company and HerMoney. She has also appeared on the Money Moolala podcast and All's Fair podcast.

Prior to Policygenius, Hanna wrote for KNBC in Los Angeles and WNBC in New York. When she isn't writing, she's (often) running, (usually) cooking and (sometimes) doing photography.

Published August 5, 2019|1 min read

Policygenius content follows strict guidelines for editorial accuracy and integrity. Learn about our

editorial standards

and how we make money.

News article image

T-Mobile and Sprint are finally merging together.

The Department of Justice approved the merger between the No. 3 and No. 4 cell carriers in the country last week. The move is an attempt to compete with top carriers AT&T and Verizon.

As part of the deal, Sprint agreed to sell its prepaid business, which includes Virgin Mobile and Boost Mobile, to Dish Network, so the television provider can create a fourth wireless carrier.

The merger “will create a bigger and bolder competitor than ever before – one that will deliver the most transformative 5G network in the country, lower prices, better quality, unmatched value and thousands of jobs,” said T-Mobile CEO and New T-Mobile CEO John Legere in a statement.

Not everyone agrees it’s a good move.

“We’re unhappy they approved the merger,” said Ira Rheingold, executive director of the National Association of Consumer Advocates. “We think reducing the number of carriers is not a good thing.”

How will the merger affect me?

Once the merger is completed, Sprint customers will become T-Mobile customers. Users of Sprint’s prepaid brands will become Dish Network users.

Rheingold believes cell phone costs will go up after the merger. Customers will have less choice in where they get their cell phone service. He said it’s unclear if cell phone service will get better or worse.

“Companies will be less willing to compete for consumers, as there’s less competition,” he said.

How to save on your cell phone plan

A group of state attorneys general have sued to block the move, which may slow down the merger. In the meantime, there are simple steps cell phone users can take to lower their monthly bill.

  • Upgrade to unlimited. Constantly go over the data limit each month? Those extra fees can add up. It may be more advantageous to upgrade to an unlimited data plan.

  • Or downgrade. Conversely, if you have an unlimited plan but don’t use much data, it may be cheaper to stick to a plan with data limits.

  • Hop on the Wi-Fi. This will lower overall data usage. Avoid streaming movies or music if you’re not connected.

  • Manage cellular data usage. Adjust your settings so apps aren’t sucking data when they’re not in use.

  • Nix the cell phone insurance. Your renters insurance policy may already have you covered.

  • Negotiate your plan. Cell phone bills are often negotiable. Here’s how.

  • Switch carriers. If all else fails, consider switching to a different cell phone service company. Most offer promotional deals to people who switch.

Want more money news in your inbox? Sign up for the Policygenius newsletter.

Image: Nastia Kobzarenko