The Best Alternatives to Phone Contracts

Phone contracts may be the most popular option for majority of mobile users in the UK but it doesn't mean that it's always the best option for everyone. In fact, phone contracts may lead to overspending especially if you got hooked to the wrong phone bundle plan. If you want to save money on your phone bill, here are some low cost alternatives to traditional phone contracts:

No Contract Plans

The opposite of phone contracts are of course no contract plans. More providers are now offering plans at lower monthly rates which offer irresistible phone bundles. Some no contract plans, for example, offer unlimited texts, generous talk time and Wi-Fi connectivity. All these you can enjoy without you having to worry about a lengthy contract that can last 12 months or 24 months.

There's a catch though. In order to get around the contract scheme, you may need to buy a mobile from the carrier which has already been tailored to provide you the aforementioned services.

Pay As You Go (PAYG)

Pay As You Go is another low cost alternative worth considering. Rather than pay a fixed monthly fee for your phone contract, PAYG lets you pay only the services that you use. How it works is you have to top-up your phone with credit in advance before you can use the call, text and data services. You decide how much to top-up and basically tailor it to how much you will need and use at a specific periods of time.

With PAYG, you are offered more control over your phone bill. There's no monthly fees to worry about which is advantageous for some users especially those with bad credit. The downside, however, is the possibility that you may not be able to use services during emergencies when you don't have enough credit on your phone. Click here for more info about PAYG deals.

Sim Only

If you want to enjoy the same call, text and data services that traditional phone contracts offer but at a much lower monthly rate, Sim only is the phone deal for you. With Sim only, there's no handset included in the plan lowering your monthly bill to a very manageable amount. You only pay for the services but you have to bring your own phone in order to avail of this deal.

The best thing about Sim only is the shorter contract term. In fact, some providers offer Sim only deals that last only a month.