Why are you paying so much for your Iphone service?
How much do you pay a year for your Iphone service? $1,000? $2,000? What are you getting for that service? The average Iphone user pays about $2,240 ($199/Phone + $85/Month) every two years for their phone plus a service contract. What would you do if someone gave you $2,000? Would you enjoy having that money? I think most people would agree that you could have a lot of fun with that kind of money.
AT&T iPhone ($99 to $299 Off Contract at CowBoom, Ebay, or Craigslist)
Sim Card ($1 to $15)
How does it work?
Get to know your MVNO. What is a Mobile Virtual Network Operator? Basically, it is a company that pays AT&T (or Verizon) to use a portion of their network for prepaid service. The advantages of these subsidiaries is that they do not have to pay for the building or maintaining of the network and AT&T benefits by selling their extra bandwidth and not having to worry about lower revenue prepaid customers.
Also, AT&T does not want to offer competitive prepaid services because they know that if they offer those, no one in their right mind would pay $80 a month for a contract! If you have ever been to Europe or any country other than the US you will know how this process works (and probably be amazed at how many American blindly pay so much for cell phone contracts).
How to Choose an MVNO:
The first is to choose a MVNO that licenses the AT&T network. I’ve narrowed it down to the two best. For a full up-to-date list check here:
All of these companies license AT&T’s network so you can buy a sim card and directly drop it into any AT&T locked (or unlocked) Iphone and it will work perfectly! You can buy a sim and be making calls in minutes.
What do you get and what about pricing?
Best Per Minute:
AirVoice Wireless @ $.02/Text, $.04/Min, $.33/MB
Best Text and Talk:
AirVoice Wireless @ $30 Unlimited Text and Talk + 100MB Data
Best for Unlimited Talk, Text & Data:
Winner: Straight Talk @ $45 a month
How do you get started? Simply go to the website and purchase a Sim Card. Once it comes in you can activate it on their site and add minutes to the plan. You simply take the Sim Card from your current AT&T phone out and put the new one in!
How much do you save? On the simplest level, going from $85/ Month on AT&T to $45/Month on Straight Talk you would save almost $1,000 over the two year contract! I personally have averaged about $10-14 a month the last two years of prepaid with modest use. This has saved me over $1,500 compared with the top AT&T plan. Lastly, if you want to use a newer iphone and you have a regular sim card you can just trim it to make it a micro sim.
FGEs (Frequently Given Excuses)
I’m in a contract and I can’t get out:
If you are currently in an AT&T contract you can call and get out of the contract anytime. They will require that you pay an ETF which starts at $325 and drop $10 for every month you are in contract. If you have been in contract over a year you will pay less than $200. You would save that in 2-3 months of service!! Some people will say, “I don’t have enough to pay for that” and I say “I don’t have enough to pay $2,240 dollars every two years just to have a cell phone!”
I like my current number and don’t want to change:
I have ported my number that I’ve had for 10 years from carrier to carrier. It is as simple as filling out a web form with your current number and information. It only takes a few hours for the number to be switched!
I want to get a new phone every two years from the store:
New phones are expensive. Especially when you buy them without a contract. But you know what else is expensive? Paying $2,000+ for a cell phone bill! If you save just a tiny bit of the money you won’t be paying you can buy whatever phone you want anytime you want (you don’t even have to wait two years!)
I love paying extra for taxes and overages on my current postpaid plan, what will I do will all the money I save from not having to pay those?
True, True. You are correct that prepaid plans come with all taxes and service charges build into to the total cost. No more paying for all the ‘extra’ taxes that seem to show up on postpaid bills.
I love paying an extra $1,000 every year for my cell service, your suggestions are stupid!
Some people will never understand
The misses and I often use Skype, Talkatone and iMessage to use even fewer minutes. We have wifi at our home and work so we don’t have to worry too much about data charges.
If you have any questions leave a comment and I’ll respond