Compare Cell Phone Plans

Shopping for cell phones is a fun experience, as you explore stylish, compact, and advanced technological options. The cell phone you choose can be classy, impressive, and greatly functional for your working needs.

Shopping for cell phone contract plans, however, can be very frustrating; in fact, cell phone contracts are specifically designed to be confusing and difficult to compare with the competition. Cell phone providers are not exactly forthcoming about hidden fees and charges. If you are looking at signing a new cell phone contract, it is important that you go into the process with your eyes wide open, armed with knowledge. What kind of contracts will you have to sign? Is $20 too much for unlimited texts? And how much will it cost for you to cancel your contract?

When do the “nights and weekends” begin?

Each wireless carrier has a different policy when it comes to the parameters of “nights” and weekends.” Although many carriers offer unlimited nights and weekends, it is important for you to know when that timeframe begins.

Sprint offers unlimited nights and weekends on its “Power Pack” plan starting at 7 p.m. Or, you can pay an extra $5 a month, and 6 p.m. is officially “night.”

US Cellular pulls a similar stunt. If you are purchasing 450 minutes from them, your unlimited nighttime minutes begin at 9p.m. If you are purchasing 900 minutes from them, the sun sets a bit earlier, and 7p.m. is now when your free minutes start.

AT&T offers unlimited nights and weekends starting at 9p.m., but will happily change that to 7p.m. for you if you pay them an extra $9 a month.

Verizon Wireless and T-Mobile are straightforward with its nighttime policy: nights begin at 9p.m., and no amount of money can change what time the sun goes down.

Alltel’s “National Freedom” plan offers nights beginning at 9p.m., but its “Smart Choice Packs” have nights beginning at 7p.m.

Although most companies now agree that Saturday and Sunday are considered the weekends, you will soon be able to buy “three-day weekends” for your cell phone.

In conclusion, the provider with the best nights and weekends policy is Sprint, whose 7 p.m. policy comes standard without extra fees. US Cellular is a close second, offering free nights and weekends at 7p.m., but only if you purchase 900 minutes or more.

Add-on features: texting and media options

The additional features, such as texting and internet access, for your wireless service can add up to a tremendous amount of money each month. When you are comparing contracts, it is important to also evaluate the differences in costs for additional features.

If you are someone whose fingers are buff from texting, you can choose the unlimited text option from Sprint and T-Mobile for $10/month. US Cellular and ALLTEL charges $15 monthly for unlimited texting, wile AT&T is the most expensive option at $20 per month.

If you are into multimedia options on your wireless phone, then you can choose comprehensive packages. For unlimited email, picture messages, text messages, mobile internet, radio, and Sprint TV, you would only need to pay an additional $15 per month. You can obtain these options for approximately $20 with Verizon and T-Mobile and $40 with AT&T. US Cellular and ALLTEL do not offer similar multimedia contract plans.

Binding contract length: the gimmick of “rebates”

What about contract length? Do you have to sign a 2-year contract to get service? Most places offer contracts of one or two years, but they are not required. Instead, they utilize “rebates” on their cell phones to entice you to sign longer contracts. Typically, the rebates for a two year agreement range between $30 to $330, and the rebates are substantially greater than the one-year contracts.

Verizon Wireless is the only wireless provider that has a mandatory one year minimum contract, but you sign a two year contract, you can choose between four free phones and substantial rebate discounts.

T-Mobile, on the other hand, forces you to sign a two year contract if you want to purchase any of their “My Faves” packages; however, T-Mobile does not offer significant differences in the cell phone rebates between one or two year contracts.

Sprint’s phones are some of the most expensive. If you sign up for a two year contract and purchase online, you’ll have the option of only one free phone. US Cellular is the same, offering only one free phone after you are locked into a two year contract.

On the other hand, if you sign a two year contract with AT&T, you have the option of 12 free phones from which to choose.

ALLTEL does not have any free phones (although technically none of these phones are really free), but with all discounts and rebates, they offer three phones that will only cost $1 with a two year contract.

Termination fees

The ominous termination fees with cell phone contracts often bind unhappy customers to their current provider. Although the laws have begun to change, cell phone companies still include hefty termination fines in their contracts.

Due to potential legislation in Congress, some providers have preemptively changed their termination fee structure. AT&T and Verizon both prorate their $175 termination fee. This means that the later you cancel the contract, the less money you will have to pay in fees.

Alltell, Sprint, and T-Mobile charge a $200 early termination fee, while US Cellular fines you $150. While most service providers will waive the termination fee if you move outside of their service area, US Cellular will force you to pay the $150 early termination fee. This has been a point of grief for many US Cellular customers who have moved outside of the provider’s coverage zone, but still must fork out the hefty fee.

Free trial period

Verizon’s contract offers a 30-day grace period where you will be allowed to cancel your plan without termination fees. However, you will still have to pay Verizon the $35 activation fee and service charges.

AT&T will waive your termination fee if you return your phone, like new, within 30 days. If you return your phone within three days, AT&T will even waive the activation fee.

Sprint has a similar 30-day trial period policy as the other providers, waiving the termination fee.

You will also receive a 30-day free trial with US Cellular without contract commitments. If you decide after 30 days that your mobile needs have changed, you can still alter your original plan.

T-Mobile runs short of its competitors with its 14 day trial, and you will have to forfeit your $75 activation fee as well. ALLTEL and US Cellular have no “trial period” in their contracts, and you will be bound to the agreement even if reception in your area is poor.

Roaming costs

Although many wireless providers, such as Verizon, Sprint, T-Mobile, and AT&T, have begun to include “free roaming” within your monthly plan, other providers will still nickel and dime you for your activity outside of your local area.

Alltel’s roaming charges are $.59 per minute, while US Cellular’s roaming fees are $.45 per minute. If you travel outside of your local area regularly, you want to ensure that your contract includes free roaming, or else you will be left with very high cell phone bills.

Minutes overage

Cell phone providers are notorious for exploiting the costs of overage minutes. This is an important part of your contract to review, as overage costs can quickly add up to hundreds of dollars.

T-Mobile and Verizon’s overtime fees vary depending on which plan you decide on, but typically range between $.35 and $.45 cents per minute. Sprint is a bit more costly, with overage fees beginning at $.45 per minute.

Overtime charges at US Cellular are either $.25 per minute for plans with 900+ monthly minutes, and the rates are $.49 per minutes for all other plans.

Both ALLTEL and AT&T’s overage charges range between $.25 and $.40 per minute, depending upon your plan.

Available insurance and liability coverage

Verizon, AT&T, ALLTEL and Sprint contracts do not include phone insurance, but they will void any charges made if your phone is lost or stolen. For all four of these carriers, additional cell phone insurance can be purchased for $4.99 per month, with a $50 deductible.

T-Mobile, in comparison, charges $5.99 per month for insurance, and your deductible can range from $40 to $110, depending upon the “class” category of your phone.

There is no insurance inherit in the contract, but US Cellular will waive any fees accumulated on your account if you provide them a police report. You can purchase additional mobile phone insurance at $5.95 per month, which has a deductible of $50 per incidence.

Beware of certain contract provisions

US Cellular offers an interesting provision in their contract. You must use at least half of the minutes you purchased each month; if you do not use these minutes, you will technically be in violation of their “Use of Service,” and they have the right to terminate your account. And, if they terminate your account, you will be charged the early termination fee. Doing the math here? That means if you pay $50 a month for minutes and don’t use more than half of them, you will be charged $150 for the termination they will issue you.

In addition, US Cellular is also the only cell phone provider that will charge you that hefty termination fee if you move to an area not covered by their services!

If you decide to sign a contract with ALLTEL, they maintain this potentially worrisome statement: “A change in your service address or the location to which any Service is provided to you may constitute, at our sole discretion, termination of the Services or an increase in the prices you must pay for the Services.” However, if they change your plan, they will give you notification, and you can then cancel your plan without any termination fee.

Finding the right contract for your needs

Whew. So that’s it. In the end, which provider is the best deal for your money? Well, it all depends on what your needs are.

Sprint can’t be beat when it comes to $10 unlimited texting for people who like to talk with their thumbs. ALLTEL and US Cellular are not recommended for people looking for media-heavy cell phone experiences. Verizon Wireless, however, will be the best and cheapest choice for “the works;” their plan costs $40 extra per month, but includes unlimited text, picture messages, video and instant messenger, with mobile email, Vcast, and their navigator program.

As long as you arm yourself with knowledge regarding the contract pitfalls and loopholes, you will be able to secure the best cell phone contract for you!