How to Trade In Your Old Phone and Save Money

If you have an old smartphone sitting in a drawer — or even one you are currently using — it likely has real monetary value that you can put toward the cost of a new phone. Trading in your old device is one of the best ways to reduce how much you spend on an upgrade. Many people do not realize their old phone is worth $100 to $500 or more depending on the model and condition.

Trade-in programs work like this: you give your old phone to Apple, Samsung, your phone carrier (like Verizon, AT&T, or T-Mobile), or a third-party service. In return, you receive a credit — either applied to your new phone purchase, added to your account as bill credits, or sent to you as a gift card or check. The amount depends on the model of your phone, its age, and its condition (whether the screen is cracked, whether it turns on, and so on).

Before you trade in your phone, you need to do a few important steps to protect your personal information. You should back up all your photos, contacts, and other data. Then you erase your phone completely — this is called a factory reset — which wipes all your personal information off the device before you hand it over. This step is critical. Never hand over a phone without erasing it first.

The best trade-in values often come from trading in directly with Apple or Samsung when you buy a new phone from them, or through your carrier when you sign a new plan or upgrade. Third-party services like Best Buy, Amazon, and Decluttr also accept trade-ins and sometimes offer competitive values, but they may pay in gift cards rather than cash.

You can check the estimated value of your phone before committing to anything. Apple's trade-in estimator, Samsung's trade-in page, and your carrier's website all let you enter your phone model and answer a few questions about its condition to get an estimate. Shopping around between these options can make a meaningful difference in how much credit you receive.