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Financing a cellphone could help you build credit: Financing a cellphone can help build credit if you pay on time, consistently. Improving your credit score makes it easier to qualify for other types of credit and be approved for favorable interest rates.

The early termination fee is prorated, which means that as more time passes, you will pay less to terminate the fee. The way Sprint figures out the fee is that it charges $20 per month for each month that's left on your contract with a maximum fee of $350 and a minimum of $100 per device.

Once your 24 month Installment Agreement has been paid in full, you are eligible to upgrade to a new device. In stores and on customer service calls, a $35 assisted or upgrade support charge may be required. To learn more, visit sprint.com/easypay.

Leasing a phone is similar in concept to monthly installments, as you pay a specified amount per month?the main difference between the two is that you won't keep the phone at the end of a lease, whereas the phone is yours when paid for through monthly installments.

Unsurprisingly, one of the biggest differentiators between leasing and buying a phone is pricing. And while you'll find that leasing a phone generally costs you less over the long-term, you have to remember that you won't own the phone at the end of the lease unless you pay a buyout cost.

After your lease ends, a charge will appear on your bill for the remaining purchase-option price of your device, plus taxes.

Leasing a cell phone can be a good idea if you like to upgrade to a new phone every year (or thereabouts) and don't necessarily need to own your phone. Leasing a phone can be cheaper than paying off a phone in full (whether outright or via monthly installments) and you'll be able to get a new phone every 12-18 months.

Leasing a cell phone can be a good idea if you like to upgrade to a new phone every year (or thereabouts) and don't necessarily need to own your phone. Leasing a phone can be cheaper than paying off a phone in full (whether outright or via monthly installments) and you'll be able to get a new phone every 12-18 months.

If you can be content using the same phone for two years or longer, your better off just buying your phones outright. Overtime, lease payments could add up to far more than you would pay for the phone upfront assuming you don't trade your phone in every year or two.

Sprint Flex Lease Explained After the lease is up you will NOT own your phone unless you pay a buyout fee after the lease is up. All together you have three options at or after your 18-month lease is up: You can buy the phone.