Telecom · State Settlement

T-Mobile Settles New York Attorney General Probe Over “Price Guarantee” Plans It Raised in 2024

Published October 29, 2026

New York T-Mobile customers on 2017–2019 T-Mobile ONE “Price Guarantee” plans were covered by a settlement with the New York Attorney General in October 2026 after T-Mobile raised those plans’ prices in 2024. T-Mobile must notify them by March 19, 2027 of a 45-day window to cancel with their last month paid or stay with a price freeze until at least May 30, 2029.

The front of a T-Mobile store with magenta signage

What Is This About?

New York Attorney General Letitia James announced on October 20, 2026 that T-Mobile USA, Inc. had resolved her office’s investigation of the company’s “Price Guarantee” plans. From about January 2017 through April 2019, T-Mobile offered certain T-Mobile ONE plans on its 4G network with a promise, made in press releases and a CNET video interview with its then-CEO, that it would “never change the price you pay.” In May and June 2024, T-Mobile raised prices on some New York wireless customers, including Price Guarantee customers, by about $5 per line and an average of $12 per account.

The deal is an Assurance of Discontinuance, Assurance No. 26-042, which took effect October 20, 2026. It is a state enforcement settlement, not a class action: there is no court, no settlement fund and no claim form. The Attorney General’s office says the benefits T-Mobile must offer are worth up to more than $38 million to affected New Yorkers. T-Mobile neither admitted nor denied the office’s findings.

Status Settled · Notice Not Yet Sent Assurance effective October 20, 2026 · notice due by March 19, 2027
Who Is Covered About 252,957 New York Price Guarantee plans T-Mobile ONE sign-ups Jan. 1, 2017 – Apr. 30, 2019 · accounts billed in New York
Benefits Last month paid to cancel, or price freeze to May 30, 2029 Lines not on 5G add a $25 cash card on cancellation or a 5G phone offer
Can I Claim? No claim form — T-Mobile sends notice to covered accounts

What the Attorney General Found

According to the assurance, T-Mobile’s 2017 press releases and the CEO interview told consumers that their prices “won’t go up,” that only they had the power to change the price they paid, and that the offer “abolishes price hikes.” The offer also appeared on T-Mobile’s website for some or all of the 2017–2019 offer period. New York consumers enrolled in about 252,957 Price Guarantee plans, many with more than one line.

The Attorney General’s office concluded that any disclaimers T-Mobile could point to were ineffective, because they contradicted what a reasonable consumer would take the promise to mean or were not displayed clearly near the offer. It found violations of New York Executive Law § 63(12) and General Business Law §§ 349 and 350. In the Attorney General’s press release, James said T-Mobile “misled hundreds of thousands of New Yorkers.” T-Mobile neither admits nor denies the findings, and the assurance states it is not an admission of liability. In the model customer notice attached to the assurance, T-Mobile describes the 2024 changes as small adjustments to some of its oldest rate plans in response to rising costs and inflation.

Which Accounts Are Covered

The assurance covers T-Mobile wireless accounts billed in New York that signed up for a T-Mobile ONE plan between January 1, 2017 and April 30, 2019 and were still on that plan when the 2024 price increase took effect. It splits them into two groups, based on device information T-Mobile had as of October 20, 2026:
Accounts billed outside New York are not part of the assurance.

What T-Mobile Must Offer

Upgrade-eligible accounts get 45 days after the notice date to choose between two paths. An account that cancels gets T-Mobile’s payment of its last month’s recurring charge plus a $25 cash card, which the assurance says carries no fees and no expiration date. An account that stays can pick a 5G-equipped phone for each line getting less than 5G service, with certain devices valued up to $250 offered free and a $150 credit toward other models, and T-Mobile commits not to raise the monthly recurring charge on its current plan until at least May 30, 2029.

Upgrade-ineligible accounts get the same 45-day window to cancel with the last month’s recurring charge paid, but no cash card or phone offer. Those that stay get the same commitment not to raise the monthly recurring charge on the current plan until at least May 30, 2029. The assurance lets T-Mobile rename or recategorize a plan behind the scenes before then, as long as the monthly recurring charge does not go up.

None of the options repays the 2024 increases themselves. T-Mobile is also paying the State of New York $98,834.75, which the Attorney General’s press release rounds to $98,000.

Notice and the Window to Choose

T-Mobile has to send notice no later than 150 days after the October 20, 2026 effective date, which works out to March 19, 2027. Notice goes to every email address T-Mobile has on file for a covered account. Accounts without an email address, or whose email bounces, get the notice by U.S. mail and five additional days to choose, for 50 days in all. T-Mobile must also print a reminder on the first bill issued after the notice date.

In the model notices attached to the assurance, accounts choose a phone or cancel through T-Mobile’s customer care team by a date printed in the notice. The price commitment in the notices applies to accounts that stay on their current plan. T-Mobile must report to the Attorney General 30 and 90 days after the notice date on how many accounts took each option.

New Rules for Future Price Guarantees

The assurance also governs how T-Mobile advertises price guarantees going forward. Ads that promise a price will not rise must clearly and conspicuously disclose the guarantee’s material terms, and any time limit must appear in the same sentence as the guarantee. Those requirements take effect within four months of October 20, 2026. Starting immediately, T-Mobile must honor a price guarantee unless the customer agrees in writing to change it, and an agreement obtained by threatening to remove, downgrade or add conditions to the customer’s service does not count.

How This Differs From the Price Lock Lawsuit

The Attorney General’s deal is separate from the private litigation over the same 2024 increases. That case, Oddo v. T-Mobile USA, Inc., No. 2:25-cv-01651, is pending in federal court in Seattle on behalf of customers who say T-Mobile broke a lifetime price promise. In late September 2026 the judge ruled that the customers must arbitrate their claims individually rather than as a class, and on October 13, 2026 the plaintiffs asked the judge to reconsider. Those claims are allegations, and no class has been certified.

The assurance is an agreement between New York State and T-Mobile. Its release covers claims the State could have brought, and it states that nothing in it deprives any person of a private right under the law. It also preserves T-Mobile’s right to defend itself in any private or class case. OCA’s T-Mobile class action roundup tracks the other pending T-Mobile cases.

Questions

Which T-Mobile customers are covered by the New York Price Guarantee settlement?

T-Mobile wireless accounts billed in New York that signed up for a T-Mobile ONE plan between January 1, 2017 and April 30, 2019 and were still on that plan when T-Mobile raised prices in 2024. The New York Attorney General counted about 252,957 Price Guarantee plans enrolled by New York consumers. Accounts billed in other states are not covered.

What does T-Mobile have to offer New York Price Guarantee customers?

Every covered account gets a 45-day window after notice to cancel with T-Mobile paying its last month’s recurring charge, or, for accounts that stay, a commitment not to raise the monthly recurring charge on the current plan until at least May 30, 2029. Accounts with at least one line T-Mobile knows is getting less than 5G service also get a $25 cash card if they cancel, or, if they stay, a 5G phone for each such line, free for certain devices valued up to $250 or with a $150 credit toward others.

When will T-Mobile send notice of the New York settlement benefits?

The assurance requires T-Mobile to email notice to covered accounts no later than 150 days after its October 20, 2026 effective date, which is March 19, 2027. Accounts with no working email address get notice by U.S. mail and five extra days to choose. T-Mobile must also put a reminder on the first bill after the notice goes out.

Is the New York Attorney General settlement the same as the T-Mobile Price Lock lawsuit?

They are separate. The Attorney General’s deal is an Assurance of Discontinuance between New York State and T-Mobile, covering New York accounts only. The separate private case over the price increases, Oddo v. T-Mobile USA, Inc. in federal court in Seattle, was sent to individual arbitration in September 2026, and the plaintiffs asked the judge to reconsider. The assurance states that nothing in it deprives any person of a private right under the law.

Did T-Mobile admit wrongdoing in the New York Price Guarantee settlement?

T-Mobile neither admitted nor denied the Attorney General’s findings, and the assurance says it is not an admission of liability. T-Mobile also agreed to pay the State $98,834.75 and to clearly disclose the material terms and any time limits of future price guarantees.

Sources

• New York Attorney General, “Attorney General James Secures Reimbursements for T-Mobile Customers Whose Rates Were Unjustly Raised” (October 20, 2026)
• Assurance of Discontinuance, In the Matter of T-Mobile USA, Inc., Assurance No. 26-042, with model customer notices (Exhibits A1 and A2)
• Oddo v. T-Mobile USA, Inc., No. 2:25-cv-01651 (W.D. Wash.), docket via PacerMonitor

For more class actions keep scrolling below.
Status Settled — notice due by March 19, 2027
Case Title In the Matter of T-Mobile USA, Inc.
Case Number Assurance No. 26-042
Agency New York Attorney General, Consumer Frauds and Protection Bureau
Effective Date October 20, 2026

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