Prepaid Cell Phone Plans ? Are They For You?

Most Americans have cell phone plans with contracts that call for a certain number of minutes per month.

For example, your plan might include 450 minutes per month. If you go over that limit, you pay extra for the extra minutes. Use fewer than the 450 and, chances are, you lose the minutes you didn't use.

An alternative to this kind of plan, that's becoming increasingly popular with some Americans is a prepaid plan, often called pay-as-you-go. In this type of plan, you pay in advance for a certain number of minutes, then use them at your own pace. The advantages to this is that there are no surcharges, and you never have to worry about going over an allotted number of minutes. The way these plans work is that you contact a service provider, and load minutes into your account. There is no contract and no big penalty if you drop out.

You could talk 500 minutes one month, and 200 the next. You will find that with some of the cell phone service providers, your unused minutes expire at the end of the month in which you purchased them. However, with others, you can roll over your the unused minutes ? so long as you buy new minutes the next month.

This concept makes good sense for a lot of people. For example, there are many Americans who carry a cell phone for use only in emergencies or for short calls home. So even those plans that offer 250 minutes don't make sense for them. There are also families who want to control how much time their kids spend on their cell phones. And if you're on a budget, a pay-as-you-go plan will save you money as there are never those weird surcharges that can run up a $39.95 plan to more than $50.00 a month.

Most of the major carriers have new or expanded versions of prepaid plans. If you feel that one of these plans might make sense for you, contract several different companies for information as there are vast differences in pricing. For example, some carriers charge a flat fee per minute. In some cases the cost per minute goes down, the more minutes you buy.

On the other hand, there are other companies that charge much less per minute, buy levy a daily rate regardless of use. Some of these plans allow roaming and some don't. Finally, unless you already have a handset that works with the pay-as-you-go plan you have chosen, you will probably pay more for the cell phone itself. This is because wireless companies heavily subsidize these phones, knowing that their customers will be locked into their service for 12 or even 24 months.

The major downside to prepaid plans is that you will most likely pay more per minute. For example, the Cingular GoPhone plan costs $0.25 per minute. In comparison its Nation 450 with Rollover gives you 450 anytime minutes for about $0.08 per minute (plus 5,000 nights and weekend minutes and unlimited calls to toher Cingular subscribers). Of course, requires a two-year contract and any minutes over the 450 per month will be billed at a cost of $0.45 each.

Monthly service plans are probably still the best bet for most people. But if you feel you are using your cell phone less than 300 minutes a month, or just prefer to not have a contract or a monthly bill, a prepaid plan just might be what the doctor ordered.

For FREE help with debt and other financial issues, subscribe today to Douglas Hanna's free email newsletter "8 Simple Steps to Debt Relief" at http://www.all-in-one-info.com

---

The Importance Of Cell Phones In Modern Society

Cell phones have become a necessity for many people throughout... Read More

Call Mexico at Rates as Amazing as the Murals

It's a country that speaks through its numerous murals and... Read More

How to Find the Best Cellular Phone Service Deal

Finding the best cellular phone service deal can seem as... Read More

Renegotiating a Cell Tower Lease- Can It Be Done?

While cell towers actually started being built in the late... Read More

Cellular Phones ? Things to Consider When Buying a Phone

Staying connected with a cell phone has become a way... Read More

Safer Cell Phone Use For Drivers

Cell phones are great for people on-the-go, but talking on... Read More

Cellular Phone Services & Bill Payment Services: The New Wave For Merchant Retailers

PREPAID CELLULAR TIMEPrepaid Cellular Are A Smart Choice!There are huge... Read More

Choosing The Right Phone and Voice Mail System

Phone and voice mail systems can be pretty costly, even... Read More

Prepaid Wireless: Is It Right For You?

Just about every leading mobile phone provider now offers some... Read More

Getting the Most of Your Cell Phone Batteries

Are you planning on buying a new phone in the... Read More

Teens And Cell Phones

Let the battle begin, should teens have cell phones? Well... Read More

Letting Go of 3G - A Viable Alternative for Asian Carriers

Most Asian cellular carriers mulling over 3G have chalked out... Read More

Indian Mobile Infrastructure - To 3G or Not To 3G

To most overseas investors circa 1994, a first look at... Read More

Protect Yourself From Cell Phone Radiation

With cell phones quickly becoming an important part of our... Read More

New Tips For Shopping Cellular Services

The best money saving practice for buying new cellular phones... Read More

Buying a New Business Phone System

Buying a new business phone system is one of the... Read More

What Are Smart Phones And Do You Need One?

Smart phones are a combination of a cell phone and... Read More

Taking Care of Your Cell Phone Batteries

Picking a new cell phone model and pricing plan is... Read More

Buying a Business Telephone System

When buying a new telephone system, it's absolutely vital to... Read More

Cell Phone Etiquette

... Read More

We Have Compiled a List of Wireless Cell Phones General Cautions and Warnings

For the most part, wireless cell phones are safe. And... Read More

Cell Phones Safety - Are They a Risk ?

Cell phones are everywhere and I believe they are here... Read More

Instant Messaging through Mobile Phones

Instant Messengers are very popular on PCs, with the advancement... Read More

How Young is Too Young? Buying Cell Phones for Kids

Take a random tween, age 8-12, place them in front... Read More

The Teen Cellular Phone Market is Growing in Leaps and Bounds

Everywhere you turn around, you see someone talking on a... Read More

Bill Payment & Cellular Services - The Wave Of The Future For Merchant Retailers!

Electronic DistributionHow Electronic Distribution WorksThe Problems of Distributing Prepaid Services... Read More

SMS Daycare & Gaming

Using the Physical World as a Game Board. ... Read More

Camera Cell Phone Picture

Camera cell phone picture - recent development.Camera cell phone picture... Read More

Cellular Ring Tones: The Latest Way To Say This is Me!

Ringtones, those digital sound bites that 'ring' through cell phones... Read More

Billing Woes For Telcos

The rapid rise in the telecom industry over the last... Read More

SMS 101 - Short Message Service Explained

Short Message Service (SMS) is a quick and simple way... Read More

Built Camera Cell in Phone

Built camera in cell phone - technology is available.The built... Read More

Choosing a Voice Mail System

Voice Mail put simply In its simplest form a voice... Read More