[Verizon Samsung Galaxy S 4] 134k:
I just wanted to contribute my experience to this thread. I figure that there were other people in my similar situation and so wanted to post this as an update to the current situation with keeping unlimited data and upgrading to a new phone.

I was on a single line Nationwide Talk and Text 450 plan with a grandfathered unlimited data plan. I had no other lines, nor was I even on a Nationwide Family Share plan. I was still on contract until 12/2013. I also had an upgrade due for 8/15/2013. Anyhow I was not eligible for any upgrade at all, nor could I afford buying a device at full retail price. I honestly didn't want to go into a corporate store to find out if I qualified, because I also refused to deal with those Verizon retail monkeys.

Now that you know the background, here is what I did to get an upgrade at a subsidized price. IT IS NOT A LOOPHOLE. In fact, don't call Verizon, nor go into a store and say the word. I upgraded my Galaxy Nexus to a Note II (yes I know that the Note III is coming out, and yes I know that this is S4 thread, but it still applies).

-This will work if you are already on a Nationwide Talk and Text Plan with a grandfathered Unlimited Data plan.

-You need to get a clean ESN feature (dumbphone) phone. I purchased one from eBay for $14 (clean ESN, NOT pre-paid, with charger). In my case I bought a Motorola V265 flip phone.

-Do this through Verizon Telesales.

A)Call Telesales. Asked to have a second line added, but also order a new phone. When you add a new line of service with Verizon, you are automatically eligible to purchase a new phone at a Subsidized price.

B)This will now make your Nationwide Talk and Text Plan into a Nationwide Talk and Text 700 plan (if you are coming from a 450 minute plan). You will still retain Unlimited Texting, and you WILL still retain your grandfathered Unlimited Data. You'll pay the subsidized phone price, plus an activation fee of $35 and taxes. I was able to get my Note II for $209 out the door (I got it for $149 with a promo code)

C)Pick a new number, agree to the new terms, and wait for your phone via Fedex.

D)I should mention that you should find and get your feature phone before you do all this. I'll explain why in the next steps.

E)Once you get your new phone, Use the new SIM card that came with it. You need to Activate the new phone on the new line. . Once it has been activated, the phone officially starts the new contract on the new line. Now remember the feature phone that you should have already? Well if you already have it, you will be able to use your new phone on your unlimited line. If not, then you're gonna have to wait until you get the feature phone in your hands before doing so. So this is why you should physically have the feature phone before you start this whole process.

F)With the new phone activated (with the new SIM card) power it down. Now power on your feature (dumb) phone and dial *228. In my case, the phone was a refurb which had not been activated before on Verizon, so I had to call CSR and they walked me through activating it. It was now activated. *When you call Verizon to activate the feature phone, you do not have to mention or explain anything about the new subsidized phone you just activated minutes before. Just call to say that you'd like to activate a feature phone on your new second line. My CSR didn't even ask anything about my Note II. He just said ok, let's activate the feature phone.

G)Once the feature (dumb) phone is activated, the plan now automatically drops the $30 2GB data plan. Your plan is now only $10 ($14-$15) more every month in addition to your Nationwide Family Share 700 plan. This also releases your new subsidized phone to use on your primary line with unlimited data.

H)Pop the old SIM card out from your old phone on the Unlimited line (primary line) and stick it into your new Phone. And voila, your new phone is now legally yours to use. You do not need to reactivate the new phone on your old line, as the SIM card does it automatically. You don't even have to go online or call Verizon to do this. It's just as simple as swapping the SIM cards.

I) I performed this, and it is legal per Verizon. It is not a Loophole. I did this on 6/14/13 and as of today, my primary line is still Unlimited. I also check daily for this as well as confirm that the data plan has dropped off my second line.