Cell phone plans are an essential part of our lives, so it’s not easy to cut the cost entirely from your budget. However, there are things you can do to get the coverage and features you need without overpaying for a plan. From switching to a prepaid plan to delaying a phone upgrade, there are ways to reduce the burden on your wallet. We explore eight such options below.
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8 Analyze your plan
Check what you’re paying for
Carriers offer several plans, including postpaid and prepaid options. If it’s been a while since you signed up for your plan, check your statement the next time you receive one. Look at everything you’re paying for and determine if you have the right plan for your needs. For instance, you might be on an unlimited plan, which might have been right for you when you signed up for it. However, if you no longer use unlimited data, you could save money by switching to a plan that offers limited data.
When you review your statement, check if you signed up for add-ons that your carrier offers. For example, many carriers offer discounted subscription services and mobile hotspot plans. If you pay for additional perks and no longer use them, cancel them to save money.
7 Switch to an MVNO or a prepaid plan
You have options
Sometimes, switching from a big-name carrier to an MVNO can help you save money. MVNOs, like Consumer Cellular and Mint Mobile, offer excellent plans. These plans cost less than those offered by bigger carriers like Verizon, AT&T, and T-Mobile. This is because MVNOs don’t own and operate their own networks. Rather, they piggyback off the networks of major carriers to provide cellular service. Since they don’t have the same overhead expenses as larger carriers, they can pass on some of their savings to you.
Still, there are trade-offs to consider. For instance, MVNO users might experience slower data speeds during peak times and network congestion. Unless you rely on steady data for work or your personal needs, you won’t notice a big difference. If you want to stay with a big-name carrier, consider opting for a prepaid phone plan instead of a postpaid plan. Prepaid plans are usually cheaper than postpaid plans because they don’t have as many perks. These plans might also be subject to network deprioritization or throttling, but it can work in your favor.
6 Add more lines to your plan
The more, the merrier
If you have a single-line plan, you likely pay more than you need to. Most carriers, including the big-name ones and MVNOs, offer discounts when you add more lines to your account. For example, with AT&T’s Unlimited Premium PL plan, you pay $86 per line when you get one line. This goes down to $46 per line when you add five lines. So, if you’re not part of a group plan, consider adding your family members and friends to your plan to take advantage of the lower pricing.
5 Cancel phone insurance
It isn’t always necessary
Many carriers offer phone insurance plans that allow you to file claims if you damage or lose your phone or if someone steals it. It makes sense to pay for such protection if you have a new or flagship device. If you use an older model or don’t have a history of dropping or losing your phones, consider canceling device protection to save money.
If that seems too risky, get the lowest tier of device protection rather than one that covers every possible risk. Keep in mind that insurance is about peace of mind. If your device protection keeps you at ease, the cost might be worth it. If you’re comfortable with some risk, reducing your coverage or canceling it might help you save big.
4 Use a credit card or sign up for auto-pay
An easy way to save money
Source: Lucas Gouveia/Android Police | Geobor/Shutterstock
You pay your phone bill every month, so use a rewards or cashback credit card to get something back. The rewards add up, and you can redeem them for statement credit, merchandise, or travel-related perks. However, pay off your credit card bill in full at the end of the month when you do this. The last thing you want is to rack up credit card interest charges that cancel any rewards you may have earned.
You can also sign up for autopay to save money. Most carriers knock off a portion of your bill if you sign up for autopay. Besides the cost savings, autopay ensures you don’t miss a payment. However, not all carriers allow you to use a credit card for autopay. So, check how much you could save with each payment method before setting either up.
3 Don’t opt for phone upgrades
The latest flagship device can wait
Most smartphones last a couple of years, if not longer. Don’t be in a rush to trade your current device for the latest flagship phone every chance you get. Doing this can lock you into another multi-year commitment and financing plan that increases your monthly bill.
If you paid off your phone, keep the device as long as it’s functional. While it might not have all the features of the latest phones on the market, it will save you hundreds of dollars over the year.
2 Check if you qualify for discounts
Cash in on them immediately
Military personnel, veterans, first responders, teachers, and students often qualify for special rates on mobile plans. These perks aren’t always advertised, and you might miss them if you aren’t actively checking for discounts when you sign up for your plan.
However, most carriers offer such discounts, and it’s easy to claim them. All you do is call your carrier or pop into the nearest store to inquire if you’re unsure what you’re eligible for. You might have to verify your status with a pay stub or email address to get the discount and keep it active.
1 Update your address
Just moved? Let your carrier know
The fees and taxes added to your phone plan depend on where you live. If you move to a new state, you might save money by letting your carrier know and updating your address. You can inform your carrier by phone or by logging in to your account and changing your service address.
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Keep track of the benefits your carrier offers to make the most of your plan
You can do several things to save money on your phone plan. However, you’ll get more value from your plan by checking the perks your carrier offers. Many carriers offer benefits like discounted international roaming, deals on streaming services, and more. While these benefits might not let you lower your phone bill, they can help you get more bang for your buck. If you still think you’re overpaying for your plan, sign up for a free network trial to test a new carrier before switching carriers.
