Can you sell a phone that isn't paid off?

A look inside financing, and what it means for your phone.

At SellLocked, we'll buy your financed iPhone — fast.

Picture this: the newest phone has just hit the market, and critics and tech bloggers are raving about all the new features. If you're like most early adopters, you've got to have this phone now. But what if it's a bit out of your budget? Or what if you're still making payments toward an existing phone?

Financing a new device allows you to take home the device today while paying off the balance later.

It's a scenario that's familiar to just about everyone who's owned a phone. With typically sky-high prices, it can be tempting to finance the purchase over a period of time, generally 12 to 24 months. This allows you to take home the latest and greatest device today, while making monthly payments toward settling the balance later.

In most cases, carriers like Verizon or AT&T, manufacturers like Apple, and retailers like Best Buy will offer plans (dependent on your credit score) to help you finance the purchase of a new phone or tablet. It's a relatively fast and easy form of unsecured credit that will help you take home the device you really want, today. This is the essence of a financed phone.

Are there any risks in financing a phone?

Before financing a device, it's important to note that the device repayment amount will be in addition to the monthly service fee. The total can surprise a lot of customers on their first bill.

Generally speaking, when a person fails at any point to pay off the remaining balance on a device payment plan, they are defaulting on the agreement. In such cases, the original carrier or manufacturer may place a block on the phone — essentially reporting forfeiture on the plan, and ultimately rendering the phone or tablet itself to be useless.

To avoid having your device blocked or blacklisted, either pay off the device in full, or sell your financed phone to a reputable buyer like SellLocked — then use the cash you earn to pay off your remaining balance.

What's the difference between a financed phone and a finance lock?

A financed phone is just that — any phone that's currently under a payment plan. And it doesn't have to be used: with carriers increasingly offering buy-one-get-one deals on devices to help incentivize a new contract, a financed phone can even be a brand new iPhone or iPad in perfect condition.

Non-payment on a financed phone, or a series of late payments toward a device plan, can sometimes trigger a lock. This is also sometimes called a “bad IMEI” phone or “Blacklisted/Blocked”, which can be recorded on national and global databases. The unique set of numbers in an IMEI helps carriers, manufacturers, insurance companies — even law enforcement — to identify a specific iPhone, iPad, or other device, and to block it from connecting to cell towers.

Not only can the blacklisted or blocked device not be used for calls or internet browsing, but it also cannot be reactivated under a new user account, making it difficult to sell directly to a third-party buyer. That's where SellLocked comes in, buying financed and blocked devices from users who are legally able to sell them.

Can I sell a financed phone?

Yes! You can sell a phone that's financed, so long as you fully intend to continue making payments to the carrier or other entity from which you've financed the device, and as long as nothing in the agreement between you and that entity prevents you from doing so.

Some carriers and manufacturers offer buyback programs from time to time, with the offering price varying based on the make, model and condition of the device. But this isn't always an option for all buyers, nor at all times of the year. At SellLocked, we'll buy your financed or locked phone from you today for top dollar.

SellLocked is here to buy your financed iPhones, so you can upgrade to the latest device now. Our reps will consult on your specific device, making you an offer based on its general condition. This offer is not affected by whether it's locked. Connect with us to learn more!