Changed SIM card, still with dropped calls

As recommended by a knowledgeable poster, I went to an AT&T store and swapped out my SIM card, and then reactivated my phone. I am still getting very poor reception (5 bars quickly drops to 2 bars, and then phone call drops) very frequently -- do I need to trade in my phone, and can I if I purchased the day after the phone was released?
Also, how does the Apple loaner phone program work?
Thanks in advance!

Same exact thing happened to me. I am convinced that this is a GSM radio issue with the iPhone. I have had 2 and they all do the same thing. I am not the only person with this problem(do a search and you will find many with the dancing signal bars). My other ATT phone does not do this, only the iPhone. I have gone back and forth with Apple and ATT. I have actually removed the sim card and the device still shows signal, ***? This is obvious a device defect. Unfortunately I am not one of the customers that has the benefit of being in an ATT 5 bar area. it seems that many that live in moderate coverage areas have even less signal with the iPhone.
What really gets me is that they insist on charging you for a phone that is obviously not working properly. That to me is horrible customer service. This has turned me off to Apple products.

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