Independent Lifeline guide
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    If you came here to order a Maxsip SIM card, check which phones work with Maxsip, or sign up for their free internet, please stop before you spend any money or share your Social Security number.

    Maxsip Telecom is winding down its operations. This is not a rumor from a forum. It is what the company itself says on its own website.

    That is hard news if Maxsip was your phone. But there is a second half to this story, and it is the more important half: if you have a Lifeline benefit, that benefit is yours. It does not shut down when a company does. You can move it. This guide shows you exactly how, in the right order, so you do not lose your number or your service along the way.

    If you only do one thing today: do not cancel your Maxsip service yet. Contact a different Lifeline company first and ask them to transfer your Lifeline benefit and port your phone number. Cancel only after the new service is working. Canceling first is how people lose a number they have had for years.

    What Maxsip’s own website says now

    Visit maxsipconnects.com today and there is no sign-up form, no plan list, no tablet offer. The whole site has been replaced by a short notice saying “Maxsip Telecom is winding down operations” and directing existing customers to email support.

    The support address they give is support@maxsiptel.com.

    We checked this ourselves in July 2026, expecting to update our old Maxsip pages with new plan prices. Instead we found one sentence where an entire company used to be. That is usually the last warning a customer gets, and most people never see it, because they only visit a provider’s website when something has already gone wrong.

    What “winding down” actually means

    Winding down” is business language, so let’s put it another way. It does not mean the doors slammed shut this morning. It means the company has decided to stop, and is now closing itself down step by step.

    In practice, that usually looks like this:

    • No new customers. Sign-ups stop first. This is why you cannot order a SIM card anymore.
    • Existing service keeps running for a while — but on the company’s timetable, not yours, and often with no clear end date announced.
    • Support gets thinner. Fewer staff, longer waits, slower replies.
    • Then service stops. Sometimes with notice. Sometimes the phone just goes quiet.

    So the honest advice is simple: act while there is still someone on the other end to answer you. Every week you wait, it gets harder to get an unlock code, a refund, or help releasing your phone number.

    Why did this happen?

    Maxsip was not a small company. It grew very fast during the Affordable Connectivity Program (ACP) years, and by its own account it connected more than 1.25 million people across all 50 states, plus Guam, Puerto Rico, the Northern Mariana Islands and the U.S. Virgin Islands. Most of that was free internet and free or cheap tablets, paid for by the ACP.

    Then, on May 31, 2024, the ACP ran out of money and ended. Maxsip’s main business ended with it.

    After that, the company tried two things. It moved many customers onto small paid retail plans, around $10 a month. And it worked with a Lifeline company called TerraCom to offer Lifeline service under the “Maxsip Tel” name. Neither path held. The plan for Maxsip to fully buy TerraCom was pulled back from the FCC in April 2025, TerraCom went in a different direction, and in November 2025 TerraCom formally dropped the “Maxsip Tel” name in state filings.

    This is not the Lifeline program ending. Lifeline is a separate, older program and it is still running in 2026. One company closing is not the same as the benefit disappearing. If that worry has been sitting in your chest, read is the Lifeline program ending? for the current facts.

    Concerned woman checking her phone after learning that Maxsip Telecom is winding down, with service equipment packed nearby.

    First, find out whose name your benefit is really under

    This step trips up a lot of Maxsip customers, so please do not skip it.

    The phone and Lifeline side of “Maxsip” was largely run through TerraCom, a Lifeline company that has been around since 2004. Depending on when you signed up and where you live, your government paperwork may say TerraCom, or Maxsip Tel, or Maxsip Telecom – even though the SIM card in your hand says Maxsip.

    That matters, because you cannot transfer a benefit you cannot find. Here are three ways to find out for certain, free:

    1. Call the Lifeline Support Center at 1-800-234-9473. It is open 7 days a week, 9:00 a.m. to 9:00 p.m. Eastern. Say: “Can you tell me which company currently holds my Lifeline benefit?” They can look it up.
    2. Email LifelineSupport@usac.org if calling is hard for you. Do not put your full Social Security number in an email.
    3. Check your paperwork. Your welcome letter, the envelope the SIM came in, or any bill will usually name the company on the account.

    The part nobody explains: your benefit belongs to you

    This is the sentence we wish every Maxsip customer read first.

    Your Lifeline approval belongs to your household, not to the company that gave you the phone. The company is only the delivery van. If the van breaks down, the package is still yours.

    Under the federal rules, you may move your Lifeline benefit to a different company, and you may do it once a month. You do not hand in your benefit when a provider closes. You carry it across the street.

    What this means for you in real terms: in most cases you will not start over from zero. You contact a new Lifeline company, ask them to transfer your benefit, and they handle the paperwork on their side. Most people do not lose service during the switch. Some people are asked to reapply first – that happens, and it is normal, not a rejection. Full walkthrough: how to switch Lifeline providers.

    We watched this play out after QLink closed. The people who came through it fine were the ones who moved in the first few weeks, while their old line still worked. The people who struggled most were the ones who waited for an official letter that never came, and only acted after the phone went dead. Please be in the first group.

    What to do right now if you are a Maxsip customer

    Do these in order. The order is the whole trick.

    1. Do not cancel anything yet

    Your old line is what makes the next four steps possible. Leave it alone.

    2. Choose a new Lifeline company that serves your state

    Not every company operates everywhere. Start with our Lifeline provider comparison, then confirm coverage for your address on the official list at lifelinesupport.org. If you want to see who serves your state specifically, use our Lifeline by state guide.

    3. Ask the new company to “transfer my Lifeline benefit”

    Use that phrase word for word. It is the industry term, and the representative will know exactly what to do. Have ready: your full legal name as it appears on official documents, your date of birth, your address, and the last four digits of your Social Security number.

    4. Move your phone number at the same time

    Ask for a number transfer, also called a port, during sign-up. You will usually need your Maxsip account number and, in some cases, a transfer PIN.

    A number can only be moved off a line that is still active. Once the line is dead, the number can be gone for good – and in the past, some Maxsip numbers were released and reassigned to other customers after periods of no usage. If your number matters to you, for work, for your children’s school, for a doctor’s office, move it this week. Step-by-step help: how to keep your phone number when switching Lifeline providers.

    5. Ask Maxsip for your device unlock code — in writing

    Maxsip phones, tablets and hotspots were locked to the Maxsip network by default. A locked device will not accept another company’s SIM card. Email support@maxsiptel.com and request the unlock code now, while there is still a support inbox to receive it.

    6. Check your bank statement or debit card

    Many former ACP customers were moved onto paid retail plans without fully realizing it. If you are still being charged for a service that has stopped working, contact your bank about stopping the payment, and keep the records.

    7. Save your proof

    Screenshot the wind-down notice. Save your emails. Write down the date and time of every call and the name of anyone you speak with. If you need to dispute a charge later, this is what protects you.

    If you came here looking for Maxsip plans, SIM cards, phones or internet

    These pages still get thousands of searches a month, so here is the answer for each one, and where to go instead.

    What you were looking forWhere things stand now
    A Maxsip SIM cardNo longer available to new customers. If you need a working SIM with a free or discounted plan, start with the provider comparison and our Maxsip SIM card page, which we have updated with this news.
    Maxsip compatible phonesCompatibility with a closing network is no longer the question worth asking. The useful question is whether your phone will work on your next company. See our bring your own phone guide and our Maxsip compatible phones page.
    Maxsip free internetThat offer was built on the ACP, which ended in 2024. Lifeline can still be applied to internet service with some companies. See our updated Maxsip internet page and what you can still get after ACP.
    A free Maxsip phoneMaxsip never gave out free phones – it gave free SIM cards, plus low-cost tablets and hotspots. If you need an actual free handset, our best free Lifeline phones guide shows which companies still ship one.
    Maxsip customer serviceEmail support@maxsiptel.com. That is the channel the company itself now points to. Older phone numbers may no longer be answered.

    What happens to your Maxsip tablet, hotspot or phone?

    The device is yours to keep. Whether you can use it depends on one thing: is it unlocked?

    Maxsip devices shipped locked. Once unlocked, a device can generally accept a SIM from another U.S. company, as long as the hardware supports that network’s bands.

    Be careful here. There is no nationwide rule forcing a carrier to unlock your phone. The FCC proposed a 60-day unlocking rule in 2024, but it has not been finalized, and plenty of websites state it as if it were law. So do not assume you have a right you can enforce – just ask, politely and in writing, while support is still running.

    And please do not pay a random “unlock code” website. Many charge for codes they cannot deliver, and a device that will not unlock is not worth $30 of money you need for groceries. Ask the company first. If the code never comes, treat the device as a Wi-Fi-only tablet, which is still genuinely useful at home, at the library, or at a family member’s house.

    Even an unlocked device may not work everywhere. Older phones can miss the network bands newer companies rely on. Our BYOP compatibility guide explains how to check before you commit, and if you are considering a specific company, our breakdowns of StandUp Wireless compatible phones and TruConnect compatible phones show what a real compatibility check looks like.

    Watch out: this is exactly when scammers appear

    Every time a Lifeline company closes, fake “benefit transfer” websites and phone calls follow within days. They target people who are worried and in a hurry. Please hold on to these rules:

    • Applying for Lifeline is free. Nobody may charge you a fee to apply, transfer, or “protect” your benefit.
    • No real company asks for a gift card, cash app payment, or wire transfer. Ever. That is always a scam.
    • Check the company on the official list at lifelinesupport.org before you hand over your Social Security number.
    • Nobody from “the government” will call to threaten your phone service. That call is not real.

    Our full Lifeline scam guide covers the common tricks in detail. It is worth ten minutes.

    Where Maxsip customers can go instead

    We are not paid by any provider, and we are not going to pretend one company is right for everyone. What you need depends on one question: do you already own a working, unlocked phone?

    Your situationWhat to look for
    You have no phone at allYou need a company that still ships a device with approval. AirTalk Wireless, Assurance Wireless and SafeLink Wireless are the usual starting points. Compare them in our provider guide.
    You already own an unlocked phoneBring-your-own-phone companies often give more data for the same benefit. StandUp Wireless and TruConnect are built around this. Read the BYOP guide first.
    You are on Tribal landsYour monthly benefit is up to $34.25 instead of $9.25, and there is a separate connection credit most people never claim. See the Tribal Lifeline guide.
    You mainly need home internetLifeline can be applied to internet service with some companies, and several cable and phone companies run their own low-income plans. Start with the comparison.

    Whichever direction you go, confirm the company serves your address on the official list before you apply. Availability really does change by state, and a company that is excellent in Texas may not operate in Ohio at all.

    How Maxsip got here: a short timeline

    WhenWhat happened
    2021–2024Maxsip becomes one of the largest ACP companies in the country, connecting more than 1.25 million people with free internet and low-cost tablets.
    March 2023Maxsip buys a 49% stake in TerraCom, a Lifeline company operating since 2004, and starts marketing Lifeline service under the “Maxsip Tel” name.
    May 31, 2024The ACP ends. Maxsip’s core business ends with it. Customers who had been promised years of free service begin losing it.
    Late 2024 – 2025Many customers are moved onto paid retail plans of around $10 a month. Some are told Lifeline is not offered in their state.
    April 2025The plan for Maxsip to fully acquire TerraCom is withdrawn from FCC review.
    August 2025California regulators deny the TerraCom / MaxSip Tel application to operate as a Lifeline provider in the state.
    November 2025TerraCom formally drops the “Maxsip Tel” name in state filings and returns to operating as TerraCom.
    2026The Maxsip website is replaced by a single wind-down notice pointing customers to a support email address.

    How to write to Maxsip support

    Email creates a written record, which is exactly what you want if a charge is disputed later. Keep it short and specific. Something like this works:

    To: support@maxsiptel.com
    Subject: Account closure request — unlock code and account number

    Hello,

    My name is [full name]. My Maxsip phone number is [number] and my address on the account is [address].

    I understand Maxsip is winding down operations. Please send me:
    1. My account number and transfer PIN, so I can move my phone number to another company.
    2. The unlock code for my device, IMEI [your IMEI].
    3. Written confirmation of my current plan and any charges still being billed to me.

    Thank you,
    [Your name and a phone number or email where you can be reached]

    To find your IMEI, dial *#06# on the phone. The number appears on screen. Write it down somewhere safe.

    If you paid for service you never received and cannot get it resolved, you can file a free complaint with the FCC at fcc.gov/complaints. Complaints are forwarded to the company, and they frequently get a response when nothing else does.

    What if your service already stopped?

    You are not stuck. You have two clean paths:

    1. If your Lifeline benefit is still active in the federal system, a new company can transfer it over. Call the Lifeline Support Center to confirm, then sign up with a new provider.
    2. If your benefit lapsed – because you missed a yearly check-in, or the company de-enrolled you – you can apply fresh. Start with the eligibility guide, then how to apply for Lifeline.

    If your application comes back rejected, do not give up on the first no. Most rejections are paperwork problems, not real disqualifications, and they are fixable. Read why Lifeline applications get denied and how to appeal.

    One more thing worth doing today. Whichever company you land with, mark your renewal month on a calendar. Lifeline requires you to confirm once a year that you still qualify, and missing that notice is the single most common way people lose a benefit they were entitled to keep. Here is how recertification works.

    Quick answers

    Is Maxsip Telecom out of business?

    Maxsip Telecom says it is winding down operations. That is a closing process rather than a single closing date. New sign-ups have stopped, and existing customers are directed to email support@maxsiptel.com.

    Will I lose my free phone service?

    You will lose it with Maxsip. You do not have to lose it altogether. If you qualify for Lifeline, your benefit can be moved to another company, usually without an interruption in service, as long as you start the move before your current line goes dead.

    Can I still get a Maxsip SIM card or tablet?

    No. New orders have stopped. If you need a SIM and a plan, compare active companies in our Lifeline provider guide.

    Is Maxsip the same company as TerraCom?

    They are separate companies that worked closely together. Maxsip marketed Lifeline service under the “Maxsip Tel” name, while TerraCom held the actual Lifeline authorization. TerraCom dropped the Maxsip name in late 2025 and continues to operate under its own name. If you are not sure which one holds your benefit, call 1-800-234-9473 and ask.

    Can I keep my phone number?

    Usually yes, but only while your Maxsip line is still active. Ask your new company to transfer the number during sign-up, and do not cancel Maxsip first. See the number transfer guide.

    Do I have to reapply for Lifeline from scratch?

    Often no. A new provider can request a benefit transfer. Sometimes you will be asked to reapply first, which is a routine step and not a rejection.

    How much is the Lifeline discount worth now?

    Up to $9.25 a month for most households, and up to $34.25 a month for households on qualifying Tribal lands. Many companies apply that discount to a plan that ends up costing you nothing. More detail: how much is the Lifeline discount.

    Can two people in my house each get a phone from a new company?

    No. Lifeline allows one benefit per household, and that rule follows you no matter which company you use. Here is what counts as a household.

    I left an abusive situation and my line was tied to that account. What do I do?

    There is a federal law written for exactly this. Under the Safe Connections Act, survivors can separate a phone line from a shared plan and may qualify for up to six months of emergency Lifeline support. See the Safe Connections Act guide.

    The Short Version
    Maxsip is closing. Your benefit is not. Move it before your line goes quiet, take your number with you, and get that unlock code in writing this week. Losing a provider is frustrating. Losing your connection is not the same thing, and it does not have to happen to you.

    LifelineFree.com is an independent publisher. We are not Maxsip Telecom, TerraCom, the FCC or USAC, and we cannot access or change your account. Company details change quickly during a wind-down, so confirm anything important directly with the company or with the Lifeline Support Center at 1-800-234-9473 before you act on it.

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