Here’s How Much Money I’ve Burned by Renting a Router for Six Years

It’s the $1,000 question: Should you buy your own router or rent one from your internet service provider?

That equipment fee might not seem like much when you first sign up for internet service, but fast forward a few years and you’re looking at hundreds in wasted dollars.

Most ISPs charge between $10 and $15 monthly for equipment — you should be able to see the fee on your ISP’s broadband nutrition label — while you can generally get a modem and router for less than $200. Buying your own internet equipment usually pays for itself in the first year, but it often comes with some additional headaches. 

I’ve been writing about the internet for six years, and for all six of them, I’ve carried around a shameful secret: I’ve a rented a router from Xfinity for most of that time. Even though I’ve always advised readers to buy their own equipment, my rented modem and router worked fine, even though I knew in the back of my mind that it was a waste of money. 

Then I took a look through my old bills and added up a number that prompted me to reconsider: $873. That’s how much I’ve spent on Xfinity’s equipment fees over those six years. 

With the money I’ve spent renting Xfinity equipment, I could’ve bought the most advanced router CNET’s ever tested and then bought another as a backup. I could’ve doubled the internet speed I was getting. I could’ve booked a flight to Oslo. I was finally ready to enter the world of modem-and-router ownership.

As satisfied as I was with my Xfinity gear, owning your own equipment is almost always the better option. You’ll often get better performance — my upload speeds increased by more than 2,000% — and as I say, it’ll usually pay for itself within the first year or two.  

The average internet bill in the US comes in at $63 per month — and that’s before you add the extra taxes and fees. Some of these are unavoidable, but equipment rental fees don’t fall into that category.

CNET Moving Tips logo

wi-fi-6-routers-gigabit-speed-test-results.png

Hitron-CODA-DOCSIS-3.1-Modem

A cable modem like the Hitron CODA connects your home to your internet provider through a coaxial cable.

Hitron

Do you need to buy a modem?

Depending on what type of internet you have, you may need to purchase a cable modem in addition to your router. Some ISPs, like Spectrum, include the modem for free but charge extra for a router. 

The main thing to look for in a modem is compatibility. Your internet provider will have a page on their website that lists all the models that it works with, and you shouldn’t stray from this. You may also have a choice between DOCSIS 3.0 and 3.1; the newer standard provides faster speeds, but DOCSIS 3.1 modems are typically more expensive. Other things to consider are the modem’s speed limits — make sure they’re equal to or above your internet plan — and the number of Ethernet ports. 

Xfinity doesn’t provide a free modem, so I had to buy one in addition to a Wi-Fi router. I opted for the Hitron CODA Modem — a DOCSIS 3.1 model that’s one of the cheapest Xfinity-compatible models I could find for $100 at the time I purchased it. It supports download speeds up to only 867Mbps, but that’s still far more than my Xfinity plan.

How to set up your new modem and router

Ordering the equipment is the easy part; the ordeal of setting up third-party equipment is what keeps many customers on the hook for years. The process is largely the same whether you’re starting service fresh with a new provider or swapping out old equipment. Here’s everything you’ll need to do. 

1. Activate your new modem with your ISP

The modem is the piece of equipment that brings the internet to your home through a coaxial cable connected to your internet provider’s network. Before it can work, ISPs need to tie your specific modem to your account. If you’re replacing old equipment, they will also turn this off as they activate the new modem. ISPs do this by logging your MAC (media access control) number, which can be found on the bottom of the modem.

You can typically do this through your internet provider’s app, in a live chat or by calling a customer service number. 

2. Connect the coax cable to your modem

After your new modem’s MAC address is registered with your ISP, you’ll be prompted to connect your modem to the cable outlet in your wall and plug it into a power outlet. You may have to wait up to 5 minutes, and your modem’s lights will tell you when it’s receiving the internet signal. Once the indicator lights are on, you’re ready to set up your wireless router.

router-speed-test

Leave a Reply