Iphone 5 $200 Unlocked Or Not?

I wanted to do the following but I'm not sure if they will work

1. Buy a AT&T Iphone 5 with the 2 year contract then unlock it with a site that you have to give the IEM or something and switch to T Mobile this month. But would it work?

2. Buy a Verizon Iphone 5 And do the same thing… But will it work

I would like to know If This does work what happens to the contract? Does Verizon charge you monthly still if your On T Mobile's Network and can they give you bad credit because you know tell them personal info and SS#. I wanted to save $400 by doing it this way than waiting for the unlocked iphone 5 to come out

The Verizon iphone actaully ships out unlocked. It is the only iphone that currently does. However, I believe if you buy the AT&T Iphone, and you do a factory reset through Itunes, and that unlocks it.

Cell phone carriers won't allow the subsidized phones to be unlock while under contract. That means you have to pay the unsubsidized price ($650), use the service 2 years, or pay the contract termination fee (usually around $300).AT&T and Verzion didn't end up with a duopoly of the US cellphone market by overlooking these things.
However, there are always ways to do it anyway, but aren't exactly easy, otherwise people would do it all the time. For instance, if you could get out of your contract without a termination fee. Keep in mind AT&T and Verizon are working on a inter-carrier blocklist that would keep phones from being used on any network for fraud purposes.

If you really want an iPhone 5, I'd just suck it up and buy it unlocked from Apple at the no contract price. Since the average 1 person cell bill for either of the companies is $100/mo for an iPhone, and you can get prepaid for half that, you'd save money in the long run paying for the phone yourself.

I think you should buy it from T-Mobile itself