You can buy used electronics from certified refurbishers, online marketplaces, and local pawn shops. The best value often comes from certified refurbished devices that include a warranty. Always check compatibility with your chosen carrier before purchasing.
Ready to Compare Plans?
See current pricing from every major carrier and budget brand — sorted by true total cost.
Compare Plans →Free to compare · No credit check to browse · Affiliate-supportedWhere to Buy Used Electronics
You can buy used electronics from certified refurbishers, online marketplaces, and local pawn shops. The best value often comes from certified refurbished devices that include a warranty. These sources typically test and grade products, reducing the risk of defects. Online marketplaces offer peer-to-peer sales with buyer protection programs, while local pawn shops allow in-person inspection. According to a 2025 Consumer Reports survey, buyers who purchase certified refurbished save an average of 45% compared to new, and 87% report satisfaction with their purchase.
How Buying Used Affects Plan Costs
Buying a used phone gives you freedom to choose any plan without carrier lock-in. You can pair an unlocked used device with a budget provider offering prepaid plans as low as $30 per month, compared to $60 per month on a postpaid plan from a major carrier. Over two years, that difference saves $720. Additionally, used devices avoid the hidden costs of installment plans, which often include interest or require a credit check. The FCC notes that consumers save an average of $200 per year by switching from postpaid to prepaid on an unlocked device.
Taxes and Fees on Used Electronics
Sales tax applies to used electronics just as it does to new ones, but you may avoid activation fees and upgrade charges that carriers add to new-device purchases. Many online marketplaces collect sales tax automatically; local pawn shops may include it in the price. The Tax Foundation reports that the average combined state and local sales tax rate in the U.S. is 8.4%. If you buy a used device for $300, you might pay about $25 in tax. By contrast, buying a new phone through a carrier can add a $35 activation fee plus monthly device installment fees that are not subject to tax but increase total cost.
Value Comparison: Used vs. New
To illustrate the total cost of ownership, consider a premium smartphone used for two years. The table below compares a used device purchased outright with a new device financed through a major carrier.
| Cost Component | Used Device (Owned Outright) | New Device (Financed) |
|---|---|---|
| Device cost | $400 | $1,000 |
| Monthly plan (prepaid vs. postpaid) | $30 | $60 |
| Activation fee | $0 | $35 |
| Total over 2 years | $1,120 | $2,475 |
Choosing used saves $1,355 over two years. This calculation uses average plan prices from the BLS Consumer Expenditure Survey and does not include taxes, which are similar in both scenarios.
How to Avoid Scams
When buying used electronics, follow these tips to protect your money and personal data:
- Only buy from sellers with high ratings and a history of positive feedback.
- Request photos of the actual device, including the IMEI/ESN screen to verify it is not reported stolen.
- Use payment methods that offer buyer protection, such as credit cards or platform escrow.
- Check the device’s carrier compatibility before purchase — an unlocked device works on all major networks.
- Ask about return policies and warranty coverage; certified refurbishers typically offer at least 90 days.
The Federal Trade Commission advises consumers to research sellers and avoid deals that seem too good to be true. If a price is significantly below market average, it is likely a scam.