What is Telstra’s HRO (Hardware Replacement Option)

Today, Telstra is the largest telecommunication company in Australia and offers a range of high-performance and dedicated network solutions for individuals and business of all shapes and sizes. With the company recently achieving Australia’s first live 5G connections, the company has a lot to offer to its customers. From providing cheaper call plans to the ability to store date in the data bank, Telstra has exciting offers available for consumers. The Hardware Replacement Option (HRO) is one such offering from the telco giant.

Telstra delivers an experience of a lifetime because it provides an environment where the digital and physical world comes together. Telstra offers great technology to connect the people with their business, even on the go.

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All about HRO

Under the current HRO scheme, when customers receive hardware they enter into a repayment plan, called a Hardware Repayment Amount, which allows the customer to pay the credit in monthly installments over a period of 24 months. This credit offered is equal to the upfront purchase price of the hardware given to the customer. In short, the company allows eligible customers to add the cost of the hardware they are buying to their Telstra account and split up the payment in monthly installments.

So, to illustrate; Jim has a postpaid active account with Telstra, and he pays off hardware along with the monthly cost of the phone plan. He ends up paying $120 for the monthly mobile plan and the cost of the hardware. $120 is made into 24 equal installments spread over a 24 month period. If after 12 months, Jim decides to buy more hardware from Telstra which costs $240, the HRO would give Jim the power to split the cost of the hardware over the remaining period of the scheme – which is 12 months in this case. For the final 12 months, Jim will have to pay $140 per month instead of $120.

Telstra is known to be the market leader in many aspects. Telstra is probably the first company in Australia to offer the HRO arrangements to the customers.
Telstra – the name Australians Bank On

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The HRO is an innovative scheme from Telstra because without adding any burden on the shoulders of the bill payers, a customer can buy hardware of their choice and make equal monthly installments to pay it off.

Paying the interest

HRO is a scheme that allows customers to pay the cost of the hardware split into equal payments over a period of 24 months. In the 24 month period, the customer can add as many electronic devices as they want, and the cost will be added to the monthly payment. However, if a customer decides to cancel the HRO, they have to pay the amount remaining to Telstra. Interest does not apply to the HRO – it’s only the cost of the device.

Who are eligible to make use of the HRO?

A customer who meets the following requirements can access an HRO from Telstra:

  • A customer with a post-paid mobile plan, post-paid BigPond broadband, or full service fixed phone from Telstra;
  • A customer who chooses hardware from the list of hardware given by the company;
  • A customer who buys all the necessary services to run the hardware from Telstra alone;
  • A customer with a 13-digit account number;
  • A customer who passes Telstra’s credit assessment test;
  • A customer who has not purchased more than five HRO arrangements with Telstra.

When is HRO not applicable?

As per Telstra’s website, the HRO arrangement is not available for the purchase of mobile handset devices.  Customers can apply for the Mobile Repayment Option (MRO) when they buy a mobile device from Telstra.

What hardware is covered under HRO?

Hardware that is eligible for the HRO arrangement is the Apple watch, Samsung Galaxy Watch, Apple Airpods, mobile broadband router, and many more types of hardware. Check Telstra’s official website to know more about the eligible devices.

With HRO arrangements, customers can now buy the all-new watch series starting from $32 per month for 24 months.

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The starting amount for the HRO is $48, and it goes up to $3360. A customer cannot choose a Hardware Repayment amount greater than the price of the hardware selected.

The road ahead

Telstra is a company which gives importance to customer’s comfort and through the HRO, it’s fulfilling the promise of making life easier for them. With the help of the HRO arrangement, the customer can pay back the cost of their hardware in small chunks over 24 months while being connected to Telstra’s mobile network.