Prepaid Cell Phones

Who Benefits Most From Pay-As-You-Go Plans

• Teens are always on the go. Unfortunately, most of them like to gab. Prepaid cell phones are a way to keep their phone bill under control. Once the money runs out, there are no more minutes to spare. Skip the overage charges.
• 'Tweens with after school activities. They can call you when it's time to go home.
• Adults with credit problems so they can avoid paying high deposits
• The elderly when they just want a portable phone for emergencies

The Phone

If you're like the rest of the tech-savvy people out there, you probably want the coolest phone around. Often you can only get the most basic phones as your prepaid cell phones. This is especially the case when you shop at a kiosk in the mall. They have less flexibility than the true retail stores. That's not to say you're destined for an ugly phone without all the fun games and gadgets. Some stores allow you the option of paying a higher price--often retail as opposed to a discount when you sign up for a plan--to put any phone you'd like on the plan.

Sometimes, stores will allow you to bring in your own phone to use on a pay-as-you-go plan. If you're thinking about buying one on eBay or from a friend, make sure it's not linked to their account anymore. Also, check with the company you're interested in using and make sure the phone is compatible with their service. A phone from Cingular, for example, may not work on Sprint's network. Different companies use different types of technology.

Questions to Ask When Searching for Prepaid Cell Phones

What is my calling area with prepaid cell phones?

This is the most obvious question to ask. Make sure when you grab a brochure you get the one specifically for this type of plan. Often the calling area is smaller than it is for contract customers. You need to make sure all your traveling needs are met before you buy a prepaid card.

That sounds confusing, huh? In most cases, if you travel outside of your allotted area your phone will still work. However, if you use your prepaid cell phone every minute you use may count as up to three minutes. If you're planning to get a phone because you're going on vacation, pay extra attention to the maps that go with these plans. Does the map cover the whole road trip? The destination?

Can I call anywhere?

Lots of plans offer free long-distance calls as long as you're within your calling area. This means as long as you're calling from a certain area, no matter where the recipient of your phone call is, it does not cost you more money.

If I sign up for a contract plan, how much on average will I pay per minute?

If buying into a contract is an option for you, you might want to do the math for both types of plans. Contracts are often quite cheaper per minute than prepaid cell phones.

How much is it per minute for the prepaid plan?

It's usually laid out for you on the brochures as to how much you'll be charged per minute. You buy a card and put a certain amount of money on it. That buys you your minutes. Normally, the more you put on the card at one time, the cheaper each minute is.

To purchase more minutes, what do I do?

Is there a convenient number you can dial and pay by phone? Can you put more minutes on your phone via the internet? Or do you have to go into the store to buy your minutes. Also, you need to find out if you can purchase minutes in other towns. If you buy minutes in Georgia, for example, and go to Florida, you may not be able to add minutes to your phone in a store. That all has to do with your coverage area. Ask ahead of time so you don't get stranded with no way to call home.

What happens to the minutes I haven't used at the end of the month?

Some companies allow unused minutes to roll over to the next month instead of being trashed at the end of the month. No one wants to waste money, right? This is more popular on contract plans but you never know what sort of specials could be offered with any company's prepaid cell phones during any given month.

Do I get free nights and weekends like your contract customers?

It's worth asking. Make sure you find out all about the stipulations. You probably have to be within your calling range for these minutes to be free. Sometimes prepaid users only get free weekends and not nights. Again, it all depends on the type of specials a company has to offer at a given time. Shop around. Take as much time as you can and when you see a great offer, jump on it.