Save Money On Your Cell Phone Bill


Many families can cut a huge monthly expense by looking at their cell phone service.

Cell phone companies consistently entice customers into signing new contracts by offering free or discounted phones.  But, before you sign your next contract, do the math.  The average monthly contract with a carrier is a little over $70.  They usually want you to commit to a two year contract.  So even assuming no overages or late charges you are signing a contract agreeing to pay over $1700!  Suddenly saving $200 off the price of a new phone does not seem all that spectacular. 

A better option may be to purchase a phone where you pay for only the service that you need - PrePaid Cell phones, GoPhones, Tracfones, etc.  You may instinctually recoil at the option because many years ago there was a stigma to having a prepaid cell phone.  The prepaid cell business was formerly the refuge of people with bad credit and the services themselves were disreputable.  Unless you were a drug dealer, there was some personal shame involved with using a prepaid phone.  Those days are gone! 

Every major cell carrier now has a prepaid option.  Everyone, from professionals to college students, is making the switch away from cell contracts.  The cell network is the same network that you would use with your contractual cell plan, there are very few downsides. 

Monthly service plans themselves are not necessarily evil.  If you are an extremely heavy cell phone user or you need a specific cell phone option, like the iPhone, then the monthly service plan may still be your better/only option.  However, you should still take a serious look at all of your choices.  For example, an iPod Touch has nearly all the functionality of the iPhone (minus the phone and camera).  You can purchase the top shelf iPod Touch and a prepaid cell phone - allowing yourself to enjoy the new Apple gadgets and still save yourself money by avoiding the two year contract.    


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