John Martin Tech 03.11.2022 00:Mar AM EST

T-Mobile Scraps Credit Check for 5G Home Internet Service

T-Mobile is set to launch its 5G home internet service with no annual contracts and more importantly, no credit check. This service is the first of its kind.

The 5G home internet service is available to Metro by T-Mobile users and can be purchased in any of the 7,000+ Metro stores across the country.

T-Mobile Home Internet 5G: Fixed, Prepaid, Wireless, No Annual Contract, No Credit Check

The T-Mobile home internet service for Metro is, according to T-Mobile, a "no-BS home internet for just $50/month. It's fast, reliable, prepaid home broadband that runs on T-Mobile's game-changing 5G network."

The service is offered for a flat rate of $50/month with an Autopay option and a $99 payment option to get the 5G gateway. And of course, the new home internet service's breakthrough feature is the lack of both an annual contract and a credit check.

The significance of the "no credit check" feature is that it will be easier by a mile for users to acquire the service.

For those wondering, a credit check under the credit rating system is a convenient way for sellers to gauge the creditworthiness of their customers. It basically reduces the cost for sellers wherein they will not have to research every customer's financial history to assess whether it would be a good idea to offer a long-term payment plan to the said customer.

However helpful, the credit rating system has its drawbacks. It may either have erroneous information on the customer which will take some time to resolve. It may also not paint the whole picture because a person simply does not have enough transactions on record to make an accurate estimation of "wealth," for lack of a better term.

Thus, it may be hard for those with bad credit ratings to acquire some services considered as necessities. They would have to go through hoops before doing so.

Why? To Bring More Internet to More Homes

For T-Mobile, home internet is a must for every household in the country. It is used for education, for work, for entertainment, and for connection. This is why it scrapped the credit check requirement.

The tech giant even brought up stats to bolster its claim:

More than 40 million U.S. residents do not have home internet
15% of households face a monopoly of internet service in their area
35% of households has this same problem in lack of competition
Internet service providers rank last in customer service satisfaction

The above factors led T-Mobile to risk it and waive the credit check and other features that annoy customers but secure the sellers.

Difference In Speed Between Metro by T-Mobile User and Non-Metro User?

There were speculations earlier from the public whether the 5G home internet service will be different for Metro by T-Mobile prepaid users and T-Mobile postpaid users.

Reaching out to The Verge via email, T-Mobile representative Elizabeth Seelinger cleared the air and said that there will be no difference.

Why are there two versions in the first place? For those unaware, MetroPCS was one of the largest mobile telecommunications networks in the U.S. a decade ago. But in 2013, T-Mobile bought the company. Instead of completely decimating the competition, T-Mobile rebranded MetroPCS as Metro by T-Mobile. The latter brand continued operating with some of its own services and products albeit under the supervision of T-Mobile.

For those wanting to get the service, it is important to have an eligible address. Potential users can check out if their address can be catered by T-Mobile 5G Home Internet via this link.

Currently, T-Mobile 5G Home Internet service is available to 30 million homes across the U.S.