Technobezz

Definition of ETF

What is ETF?

ETF refers to Early Termination Fee which means the due amount you have to pay to the previous carrier provider in case you are moving for another service provider. ETF is applicable in few countries, where you have to sign a bond or a contract with a carrier provider to get a mobile phone and their services.

> Contract says you have to use that service provider for some amount of time.

> In case you break the contract you have to pay ETF

> It was then calculated on the basis of remaining number of months as per the contract.

Technobezz Explains ETF

ETF refers to a penalty amount which you have to pay in case you break a contract with a service provider and move towards another service provider. Mostly the new service provider will promise you to pay the ETF on your behalf if you sign the contract with them for a time period.

> By signing a contract you can avail cheaper phones

> Carrier guarantees to provide service on monthly basis

> ETF may vary from country to country and from service provider to service provider

> The amount may vary to as per the number of months left with the previous provider.

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