Prepaid Cell Phone Plans

Why you should choose a prepaid cell phone:

Cell phone service can get very expensive and new consumers often don't realize the full costs. Contracts for traditional cell phone plans are usually 1 or 2 years with activation fees, cancellation penalties and many other charges beyond the monthly rate plan.

The average cell phone user spends $60 per month. That's because city, state, federal, and 911 service taxes add as much as 20% to the bill. Going over your monthly minute allotment can also cost as much as 40 cents per minute. Not using enough minutes is also a waste. Statistics show that cell phone users forfeit a third of their minutes every month.

For heavy cell phone users, contracts are worth the expense, You can compare monthly cell phone plans here. But many consumers have monthly contracts even though they really don't need all those minutes. Anyone who talks less than 300 minutes per month would spend less having a prepaid phone.

The average regularly used prepaid phone costs only $25 per month. You use much fewer minutes and still get a very good per minute rate. Many plans are at 10 cents. And this includes all taxes. Prices on monthly plans do not.

In the last couple years, prepaid prices have come down quite a bit as more and more cell phone users go prepaid. The expiration periods have also become much longer. It used to be that you had to use up your minutes in 30 days. But now a number of plans give you minutes that last a whole year. You could have a cell phone for less than $5 a month in some cases.

Your calls are made on the same networks and the handsets available are the same. The only difference is that you're not stuck with a contract or expensive bills. Pay for what you use, control your own costs, and no surprises in the bills.