Prepaid Cell Phones - No Contract Means No Hassle
As more people found themselves wanting the convenience and security offered by a cell phone, the options - including prepaid cell phones - increased to meet the demands of a very diverse customer base. More people can meet the financial demands of prepaid cell phones and their plans, and often people feel that prepaid cell phones simply offer the best plan for their particular needs. While customers might eventually decide to take the step to a contract cell phone plan, prepaid cell phones simply offer another option for those people who are not yet ready or willing to make that commitment, for whatever reason.
As a rule, plans associated with prepaid cell phones have fewer requirements to obtain cell phone service, but have a higher per minute rate than typical contract Cell Phone Plans
. So why would anyone want to pay those higher per minute rates? There are several reasons, including the need for a credit check with most contract plans. Typically, if you sign up for a plan with any of the major cell phone service providers, you'll have to undergo a credit check. You provide information to the cell phone service provider and they determine whether you are a good risk. If they decide you are not, they will probably require a sizable deposit before starting your cell phone service. The advantage of taking this step is that minutes usually cost less than with a prepaid plan, and the deposit is usually returned after the contract time is complete - probably two years. One of the major advantages of prepaid cell phones is that there is no deposit required, because the cell phone company is not taking the chance that you might not pay your phone bill.
One of the disadvantages of prepaid cell phones is that the cost of the phone is your responsibility. Often, a cell phone service provider will give you the first phone when you sign a two-year contract. The phone is free, unlike prepaid cell phones that you purchase yourself.
However, there are several major advantages to having prepaid cell phones. For example, if you are one of those people who will likely use the phone very little, you don't have a monthly phone bill attached to that phone. You pay for minutes ahead of time, then use them when you want. The minutes purchased for most prepaid cell phones never expire so you needn't worry about using the minutes during a certain time period.
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