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Old October 28th, 2012, 07:15 PM   #1 (permalink)
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Question A little help regarding contracts.

Hi guys! So, believe it or not I've been able to make do without a mobile phone in my life for years now! Crazy, I know... But I'm at the point where I really need one and I just needed a bit of help understanding something.

PAYG is out of the question, so my options are contract or buy a phone and pay for a monthly sim. So this is my attempt at understanding the differences (I'm using example amounts of money):

Bought phone (S3) + monthly sim is 400 + 26(ish) per month.

But...

Contract is a free phone + 26(ish) per month (for the service provided by the sim) for a set amount of time (24 months for example)

So...

Bought phone (400) + 24 months worth of 26 = 1024

And...

Contract phone (free) + 24 months worth of 26 = 624

So basically contracts are cheaper overall, plus you get to keep the phone but you have to remain attached with no flexibility. Is that right?

It's the S3 I'm looking at by the way, don't know if that's relevant for you guys to figure out more acccurate pricing or not.

Please try and keep it simple, I'm still wrapping my head around it all. Thanks in advance!

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Old October 28th, 2012, 08:07 PM   #2 (permalink)
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Hi guys! So, believe it or not I've been able to make do without a mobile phone in my life for years now! Crazy, I know... But I'm at the point where I really need one and I just needed a bit of help understanding something.

PAYG is out of the question, so my options are contract or buy a phone and pay for a monthly sim. So this is my attempt at understanding the differences (I'm using example amounts of money):

Bought phone (S3) + monthly sim is 400 + 26(ish) per month.

But...

Contract is a free phone + 26(ish) per month (for the service provided by the sim) for a set amount of time (24 months for example)

So...

Bought phone (400) + 24 months worth of 26 = 1024

And...

Contract phone (free) + 24 months worth of 26 = 624

So basically contracts are cheaper overall, plus you get to keep the phone but you have to remain attached with no flexibility. Is that right?

It's the S3 I'm looking at by the way, don't know if that's relevant for you guys to figure out more acccurate pricing or not.

Please try and keep it simple, I'm still wrapping my head around it all. Thanks in advance!
First Welcome to the forums we hope you find everything you need here.

I'm in America and will be little help as far as the exact prices for you but this is my knowledge of the Contract Phone. Yes the phone is generally free or a small percentage of the actual cost for the phone and yes the phone is your's once you have finished the contract. (Even though I have never heard of a company requesting a phone back.) I do know if you break the contract then there is a minimal fee for canceling services early. what that is will depend on the carrier and how long you have left for the contract.

I hope this helps and again welcome to the forums
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Old October 29th, 2012, 09:25 AM   #3 (permalink)
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First Welcome to the forums we hope you find everything you need here.

I'm in America and will be little help as far as the exact prices for you but this is my knowledge of the Contract Phone. Yes the phone is generally free or a small percentage of the actual cost for the phone and yes the phone is your's once you have finished the contract. (Even though I have never heard of a company requesting a phone back.) I do know if you break the contract then there is a minimal fee for canceling services early. what that is will depend on the carrier and how long you have left for the contract.

I hope this helps and again welcome to the forums
Thanks for the reply, I appreciate it.

I just want to clarify, the way I described the differences between a contract and buying a phone then paying for a monthly sim, is that all accurate? As in, it would work out cheaper to go contract overall?

Thanks again!
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Old October 29th, 2012, 11:14 AM   #4 (permalink)
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Thanks for the reply, I appreciate it.

I just want to clarify, the way I described the differences between a contract and buying a phone then paying for a monthly sim, is that all accurate? As in, it would work out cheaper to go contract overall?

Thanks again!
Contract is cheaper because you have to stay with them for 2 years, that's why they offer such a low price for the device.

While the other option offers you the flexibility to drop the plan/provider if you do not like them.

In other words, if you like the provider and don't mind being stuck with them for 2 years then go contract/free phone
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Old October 29th, 2012, 11:47 AM   #5 (permalink)
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Contract is cheaper because you have to stay with them for 2 years, that's why they offer such a low price for the device.

While the other option offers you the flexibility to drop the plan/provider if you do not like them.

In other words, if you like the provider and don't mind being stuck with them for 2 years then go contract/free phone
So if I find a deal that I like, price/service etc. then I pay a set price for the length of the contract with no changes in price right? What I mean is if I find a deal that states I pay 30 (for example) per month, that will stay exactly the same the whole time? And the only time that will go up is if for example I have a set number of texts or data usage and I go over that, right?

Sorry to be going over this so thoroughly, I just want to be 100% sure. Thanks for all the help so far!
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Old October 29th, 2012, 04:45 PM   #6 (permalink)
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So if I find a deal that I like, price/service etc. then I pay a set price for the length of the contract with no changes in price right? What I mean is if I find a deal that states I pay 30 (for example) per month, that will stay exactly the same the whole time? And the only time that will go up is if for example I have a set number of texts or data usage and I go over that, right?

Sorry to be going over this so thoroughly, I just want to be 100% sure. Thanks for all the help so far!
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Old October 29th, 2012, 05:11 PM   #7 (permalink)
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Thanks a lot! One more question: data usage. How does that work? Is that to do with how much you download, or general usage (browsing etc.) If so, is it like being on a timer, or...? If so, does that account for using the Twitter app and stuff like that?

That's my last question, thanks for any help!
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