Pay As You Go Mobile Phones

payasgoPay as you go mobile phones are prepaid phone deals that you can use only if you have top up credits for calls, text messages, emails and Internet. You don’t have to pay for a set amount every month to be able to use the service. How much you pay will solely depend on how much you use. If you are the type of person that rarely uses your cellphone, then this might be a good option. But if you rely on your phone a lot, pay as you go deals can prove to be very expensive and inconvenient.

Advantages:

You can end the deal anytime

If you decide to switch providers or finally get a mobile phone contract, you don’t have to worry about paying for early contract termination charges. You can end the deal any time and choose another better option.

You pay for what you use

Since there are no monthly contract fees to worry about, you can be flexible with your mobile phone expenses.

You don’t need a credit check to get a pay as you go deal

Technically, you are not going to be extended any credits in this case so you don’t have to undergo a credit check to be approved of a mobile phone contract. If you are under 18 or you have no credit history yet, a pay as you go deal may be the only choice you have. If you have bad credit, this may also be another easy option for you.

Disadvantages:

You need a phone

Since you need to have a phone to be able to use mobile phone services, you have to buy one out of your own pocket. Unlike mobile phone contracts, you don’t get a free mobile phone at sign up. You also don’t get to ask for upgrades after sometime. Since you don’t have a contract, you’re basically on your own to come up with your own handset.

Tariffs are higher

Pay as you go plan tariffs are much more expensive that mobile phone contracts. You also do not get freebies on text or call minute allowances. In the long run, you will be paying much more than when you are under a monthly contract.

Inconvenient

Using a pay as you go deal may be very inconvenient especially if you need your phone a lot. You have to top up credits every now and then. If you are far away, there might not be credits for sale anywhere near you. You also might be in the middle of a very important phone call when you run out of credits. It could also be very late at night when you have an emergency and you need to make a call that could save your life but you don’t have credits to do so. Relying on mobile phones nowadays is very important and if you can’t count on your phone, it’s as good as not having one at all.

To see whether a pay as you go plan is good for you or not, you have to think about your circumstances and your usage pattern first. If you don’t use your phone much and only keep it for emergency and you are sure that it has credits when there is an emergency, then the deal may be good for you. However, if you are a heavy user and your situation permits a mobile phone contract, it is much more sensible to get a contract instead.