
AT&T customers have expressed frustration over the company's modem and router rental policies. While AT&T does allow customers to use their own routers, they require the use of a rented modem, charging a monthly fee of $7 to $10. Some customers have questioned the legitimacy of this policy, claiming they were able to purchase their own modems and use them without issue. However, others have reported being scammed into buying stolen AT&T equipment, only to be told later that they must use the company's equipment and continue paying the rental fee. The situation is further complicated by conflicting reports from AT&T sales representatives and the challenge of finding compatible equipment.
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What You'll Learn

AT&T's mandatory equipment rental fee
As of January 23, 2022, AT&T discontinued the equipment fee on Fiber Internet plans. However, prior to this date, there are several mentions of a mandatory $10 monthly gateway equipment rental fee for AT&T Fiber services. This fee was often noticed in the small print of promotional offers, which would advertise appealing rates for the first 12 months, only to increase the price thereafter.
Many customers expressed frustration with this mandatory rental fee, especially since they felt that the modem and router provided by AT&T were of poor quality. Some even suspected that this fee was a way for the company to profit off its customers unnecessarily. There were also reports of customers being told they had to use the AT&T-provided modem, even if they had purchased their own, which resulted in an additional and, in their opinion, unnecessary fee.
It is worth noting that some customers shared their experiences of not being charged any equipment fee, even after their modem failed and they had to get a replacement. However, others reported that their plan was updated to include a rental charge when they needed a new modem. This inconsistency in experiences may be due to variations in location, plan type, or other factors.
While AT&T no longer charges an equipment fee for Fiber Internet plans, it is important for customers to carefully review the terms and conditions of their service agreements to understand any potential charges or fees that may apply.
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Using your own modem
If you want to use your own modem with AT&T, there are a few things you should keep in mind. Firstly, AT&T will automatically send you a router and modem as part of your package when you sign up as a new customer, and you will be charged a $10 monthly Wi-Fi Gateway equipment fee. This fee cannot be waived, even if you choose to use your own modem. Therefore, you will be paying the rental fee for the router and modem from AT&T regardless.
While some sources claim that AT&T prohibits the use of any other modem, there are also users who have shared their experiences of successfully using their own modems with the service. However, it is important to ensure that any modem you purchase is compatible with AT&T, as they may not provide support for issues involving your own equipment.
If you choose to use your own modem, you will need to set it up correctly. This involves connecting it to the router and setting up PPPoE, which your ISP can help you with. You will also need to keep the AT&T modem, as you will have to return it when you close your account.
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Returning rented equipment
When it comes to returning rented equipment to AT&T, there are a few important steps to follow to ensure a smooth process and avoid any unnecessary fees. Firstly, it is essential to act promptly. To avoid a non-return fee, make sure you return all the required equipment within 21 days of your service change or disconnect date. You can initiate the return process by calling AT&T at 800.288.2020 and having your account number ready.
When returning equipment, it is important to include the power supply and any other components that were provided with the device. Any equipment mounted to the wall should be left in place. It is also advisable to ensure that the equipment is undamaged, as fees may be incurred for damage due to abuse.
One option for returning equipment is to take it to a company-owned FedEx Office Pack & Ship or The UPS Store. At these locations, you can provide your account number, and they will scan your equipment and provide a tracking receipt. UPS will pack and ship the equipment for free, and no additional packaging is required. However, it is important to explicitly mention that it is an AT&T equipment return.
It is worth noting that some users have reported issues with returning equipment at UPS stores. In some cases, UPS offices may require the equipment to have a shipping label and be packaged in a box. Therefore, it is advisable to check with AT&T support or review their website for the most up-to-date information on their equipment return process to ensure a smooth return.
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Buying vs renting
When it comes to modems and routers, there are generally two options: renting or buying. Renting a modem or router from a service provider like AT&T can be convenient, but it also comes with some drawbacks. On the other hand, buying your own equipment offers more flexibility and control but may require a larger upfront investment. Let's explore the advantages and disadvantages of both options in the context of AT&T's services.
Renting from AT&T
Renting a modem or router from AT&T is often the default option for many customers. When signing up for a new service, AT&T automatically includes a router and modem in the package, with a monthly equipment fee of around $10. This fee is mandatory, even if you choose to use your own router, and it covers the rental of both the router and the modem. While it may seem inconvenient to pay this fee indefinitely, AT&T justifies it by offering a simple and supported solution. They ensure compatibility and provide assistance with setup and troubleshooting. For those who don't want to deal with the hassle of purchasing and setting up their own equipment, renting from AT&T can be a straightforward choice.
However, there are some drawbacks to renting. Over time, the cumulative rental fees can add up to a significant amount, and customers may feel they are paying too much for equipment they don't own. Additionally, there have been reports of customers facing challenges when trying to return the rented equipment, with AT&T claiming that certain fees are still applicable even after returning the equipment. This has led to frustration among customers who feel they are being unfairly charged.
Buying Your Own Equipment
The alternative to renting is buying your own modem or router. This option provides several benefits. Firstly, it eliminates the ongoing rental fees, potentially saving you money in the long run. Secondly, you have more control over the type of equipment you use and can choose devices that best suit your needs. This includes the option to purchase a combo device that serves as both a modem and a router, streamlining your setup. Additionally, if you already own compatible equipment, you can avoid the expense of renting altogether.
However, there are a few considerations when choosing to buy your own equipment. Firstly, AT&T prohibits the use of certain modems, requiring customers to use the ones they provide. This restriction has been a source of frustration for some customers who feel locked into using AT&T's equipment. Secondly, if you encounter issues with your own equipment, AT&T may not provide support, leaving you to troubleshoot and resolve problems on your own. Lastly, purchasing your own equipment requires a larger upfront investment, which may not be feasible for everyone.
In conclusion, both renting and buying options have their advantages and disadvantages. Renting from AT&T offers convenience and support but comes with ongoing fees and potential challenges during equipment returns. Buying your own equipment provides more flexibility and control, eliminates rental fees, but requires a larger upfront cost and may involve compatibility concerns and a lack of official support from AT&T. Ultimately, the decision between renting and buying depends on individual preferences, budget constraints, and the level of customization desired.
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Customer complaints
Several users have shared their experiences of purchasing their own modems, only to be told by AT&T that they are required to use the company-provided ones. In some cases, customers have been informed that they will continue to incur equipment fees even after returning the rented modems, which they find unreasonable and frustrating.
The issue of modem compatibility further adds to the complaints. Some customers have questioned the legitimacy of AT&T's claim that only their modems can be used with their services, suspecting that it is a tactic to ensure continued rental income. Others have expressed dissatisfaction with the quality and security of the provided modems, stating that they prefer to use their own routers that offer better customisation and performance.
The mandatory rental fee, often promoted as a bundle with other services, has been criticised as a hidden cost that significantly increases the overall price after the promotional period ends. Customers feel that they are being forced to pay for a device they do not want or need indefinitely, with some calculating that they would end up paying a substantial amount over several years for a modem that should be a one-time purchase.
The complaints highlight a sense of being trapped, with customers feeling that AT&T takes advantage of its position by imposing these rental fees and making it challenging to use alternative equipment. Many have expressed a desire for more transparency and flexibility, allowing them to choose their preferred modem without incurring unnecessary charges or facing technical hurdles.
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Frequently asked questions
Yes, you have to rent a modem from AT&T for USD 10 a month. You can buy your own modem, but you will still have to pay the USD 10 fee every month for the modem rental.
Yes, you can use your own modem with AT&T, but you will still have to pay the USD 10 monthly fee for the modem rental.
You can avoid paying the AT&T modem rental fee by purchasing a router and using it with the rented modem. However, this will only save you money if the router you purchase is cheaper than the USD 10 monthly fee.







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