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Prepaid Cell Phones May Be a Viable Option for You

Aug 27, 2008
When you are buying a cell phone, it's often a catch 22 situation. You want the good deal on the hot new phone that the company dangles in front of your face, but you have to sign a two-year contract to get it.

This is where we fall into the trap of getting stuck with one service that does not even really provide that good of a service.

In the United States, it is the norm to sing up with a cell phone service provider for a two year term of service. In order to qualify, generally you need to have a credit check provided.

This is the model we accept over here because that's how it's been for a long time. But it really does not have to be that way, does it?

In Europe, cell phone customers are used to the pay as you go model or the prepaid cell phone system, in which you pay for your service ahead of time or as you use it.

This prepaid cell phone type of deal is starting to take hold in the US now as consumers are becoming wary of continually locking themselves into a contract with cell phone companies.

People are starting to gravitate to prepaid cell phones for several reasons.

One reason is that you do not have to have a credit check done in order to qualify. Some people have problems with their finances and are trying to get above water.

These people may have trouble with the larger companies because they would be required to sign a contract.

Another reason is you do not have to have a commitment with a pay as you go company. Whenever you want to end service with a company like Boost Mobile or Virgin Mobile, all you have to do is stop.

There is no termination fee, which is a totally bogus charge. People understandably try to avoid this.

With a prepaid cell phone, you tend to know what you are going to spend on your cell phone bill each month. If you go over your minute limit, you just pay the fixed rate for each additional minute.

You don't have overage charges, which can be more expensive, with many of these services.

Many services have extra perks. Boost Mobile provides the "walkie-talkie" feature as a free part of the service. With each plan, you get this feature for free.

The two-year cell phone contract model is going the way of the dodo--and it really should. It's kind of an unfair practice. Many people do not like the fact that they are beholden to one company and must continue to use their service or else incur large unnecessary fees.

With prepaid cell phones, you pretty much know what you are going to get.

You have to remember, though, that you will have to purchase a phone or mobile device that works with whatever service it is that you choose to use.

The phone could be a considerable cost for you--so keep that in mind. This may not be the best option for you, but take a look at your current situation and look at your cell phone bills over the past several months.

Think it over. You do have options!
About the Author
Chris runs a website with information about prepaid cell phones. Find more reasons why you should consider a prepaid cell phone.
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