The overcompensating not only wastes the extra allowance, they might as well be throwing money down the drain. Rather than find out that they use more data than is included in their contract, they opt instead to sign up to deals which offer unlimited internet which invariably are the most expensive contracts available.
While the thought of unlimited data is attractive it is not strictly necessary, as in most cases a standard smartphone user will not tend to exceed more than 2GB of data in any month, which means that they could easily downside their deal to a more realistic data package included in any number of great value monthly contracts. We would not be happy paying excess charges in any other areas of our lives, yet we seem to turn a blind eye to the excess charges for unused services on our mobile phone bills.
Of course it pays not to under estimate your data usage either as you could end up paying more for exceeding your contracted allowance. Rather than opting for the unlimited option, go for the next step up from the 2GB average as this will work out a lot cheaper in the long term. Start tracking how much data you actually use and use this information when you are renewing your contract to ensure that you get the right data allowance in your contract. This way you will actually be getting more value for money than you ever were before.
A low cost monthly SIM-only contract can actually work out cheaper than opting for a Pay as You Go mobile deal as it is all too easy to lose track of how many times you ‘top up’ your credit each month. More people than ever are now opting to buy the phone that they want and then shopping around for the best SIM-only deal because of the extra value that it offers.
Cutting the Cost
If you really have your heart set on a specific handset don’t fall into the trap of signing up to a long term contract in order to get it. It makes much more financial sense to buy the handset that you want and then shop around for the right SIM-only deal. Owning your handset gives you the freedom to shop around and get the right number of minutes, texts and data that you actually need. While many people choose a contract with a free handset they are only doing so because they can’t afford to buy the handset that they really want upfront. It makes more sense to stick with your old phone and get a cheap thirty day rolling contract, putting the money away that you would be spending on an expensive contract to go towards the cost of your own handset instead.
About the author:
Laura Ginn is a blogger with her eye on the best deals. She knows that it is all too easy to fall into the trap of signing up to a long term contract only to regret it later. She enjoys the freedom that she gets from her SIM-only deal which offers flexibility and value for money.
Category: Saving Money