Buying a Mobile Phone Outright or Getting a Contract?

Even before you grab that coveted, shiny, new mobile phone, it’s imperative to ensure that you get the best value for it. However, there are just way too many offers and phone calls to choose from. No wonder that you find it hard to tell the great deals from the not-so-great ones. That being said, should you buy a cellphone outright, or choose a customized plan?

Buying Mobile vs. Outright Plans

The whole thing can be summed up as the following:

  • When it comes to buying a plan:
  • You just get the phone home and start using it.
  • Pay for it as per contract (usually anything from 12-24 months)
  • During the period, you would also need to stay signed up with a particular telecommunications provider.
  • You will also need to stick to the same plan until the contract expires.

However, when you are buying outright:

  • You have to pay for the phone upfront
  • You get every liberty to choose your network connection provider, and try plans as you would like it.

Contracts Vs. Outright Mobile: An Example

Having a one or two-year contract plans might make it appear like you are paying less for a new phone, rather than if you bought it outright.

However, if you start comparing options for the latest handsets, then:

If you are looking for sufficient data, texts, and calls for everyday communication, then buying a set outright can be cheaper.

For instance, if you buy an iPhone outright, and operating through prepaid credit can be quite low. For example, in the USA, one spends just about $1736.60 for two years. However, if you compare the same with a plan that clubs the handset with an offer, it can end up costing as much as $2448 or more over 24 months. Of course, such offers would vary from one mobile plan to the other.

Are You Being Overcharged?

Just by looking at some random offer, it is quite tough to tell the deals that give you the perfect value for money. Nevertheless, once you have gone through a comparative study of different plans and outright mobile deals, you can say that the SIM-only offers can be considerably cheap with a 24-month-long contract. Websites like maxbet show that with iPhone Xs, you can save big by outright purchasing. In most cases, you can get a good deal while buying the Galaxy series of phones. In fact, if you have no compulsion of buying the latest and the best-featured smartphones, then consider buying a relatively old model of handset outright. You will be impressed with the deal you get. Having a SIM-only deal could be the way to go.

Extra Benefits of SIM-only plans

In more than a way, such plans can be more cost-effective than that of the standard mobile contract plans. After all, you will simply pay for the SIM card, as well as for the service of the mobile. What is more; there are companies that even offer SIM cards for free! You need not pay for the phone for the next 12 or 24 months.

SIM-only plans can also allow for easy budgeting. You can keep a track on the amount you spend every month on cell phones. Hence, there is less chance of crossing your monthly allowance for this purpose.

Last, but never the least, you do not involve yourself in any type of commitment. With such plans, you enjoy the flexibility to choose your mobile plan, as well as your service provider. If you find that your present mobile plan is no longer competitive, you can simply ditch it and look for what gives you better value.

The Verdict

You can now say that a SIM-only contract and buying a phone outright can be a smart move for a buyer. However, you have also seen that depending on the handset you buy and the plan you choose, contacts can save a lot of money.

The bottom line is, the best option would depend on what type of mobile you are purchasing. Once you have narrowed in on the handset to buy, it’s time to start researching the deals. Look for bespoke deal comparison charts from reliable websites. Also, check the contract offers, plans, as well as the best SIM-free offers.

Finally, if you are still in two minds about which way to go, then start calculating the cost of owning the phone that you desire. Just multiply your average phone cost by 24, and add the upfront cost of the phone to the answer. Once you get how much you spend on your phone, making a decision would be easy.

If you have any questions, please ask below!