(ARA) – Cellphone users have more options than ever. But with all these options, it can be difficult to determine which cellphone plans work the best for your usage pattern.
With no-contract plans being relatively new on the wireless market, confusion continues to surround what these plans offer. With no-contract, postpaid cellphone plans, customers pay a flat monthly rate at the end of their usage cycle for an allotted amount of minutes, text messages and data. Alternately, with prepaid services, customers pay for minutes up front and use them until they run out or expire.
More and more people are finding that flexible postpaid no-contract cellphone plans are a great option when trying to get the most for their money. In fact, half of all no-contract customers opt for postpaid plans, compared to just 30 percent in 2008, according to a recent study by J.D. Power and Associates.
Here are some common myths surrounding no-contract postpaid cellphone plans:
Myth: No-contract plans are only available with prepaid options.
Fact: No-contract cellphone plans are available with both postpaid and prepaid options.
Myth: Prepaid plans are less expensive than postpaid, no-contract plans.
Fact: It depends on how much you use your phone, but prepaid minutes usually come at a greater per minute cost and minutes may disappear if they aren’t used within a certain time frame. Even if you only use your phone a moderate amount, there’s a good chance you’d save money with a postpaid cellphone plan.
Myth: No-contract plans are the same as prepaid plans.
Fact: A no-contract cellphone plan simply means you can change your service whenever you’d like. No-contract plans can either be postpaid or prepaid plans.
Myth: Prepaid plans allow for better cost control – you know exactly how much you’re going to spend.
Fact: Your bill may vary month-to-month with a prepaid cellphone plan, as monthly usage is often inconsistent. No-contract, postpaid companies like Consumer Cellular allow customers to change their plans up until the last day of their billing cycle to avoid expensive overage charges. Customers can also downgrade plans to avoid paying for unused minutes.
Myth: Phones cost more with no-contract cellphone plan providers
Fact: While many contract providers offer discounted phones, so do no-contract providers. Consumer Cellular offers a wide variety of phones that range from free to $50. Available phones include senior-friendly Doro phones to the more advanced Motorola Bravo smartphone.
Not long ago, cellphone users seemingly had one option: Sign a two-year contract and get locked into a cellphone plan. But as more providers look to offer wireless customers with additional options, mobile users have many more choices when considering plans that work best for them.
Many consumers now recognize the benefits of no-contract, postpaid plans. For more information on available no-contract cellphone plans, visit