Consumer News - Prepaid cell phones

UNDATED (WJRT) (WJRT) -- (03/13/06)-- If you are one of the few people who don't own a cell phone but think it would be a good idea to have one "just in case," there are some new options available to you these days.

Major wireless carriers offer prepaid plans that give you convenience without the commitment.

Consumer Reports Money Adviser just checked them out.

Pat LaColla didn't think she would ever use a cell phone, until she got stuck on the road with a flat tire. That's when her daughter decided to get her a prepaid cell phone.

"This way she would always feel that I would have a phone to call if I needed help in anything," LaColla said.

prepaid wireless cell phones aren't just for people like Pat. Consumer Reports Greg Daugherty says many people are switching from monthly plans because they just don't use the cell phone enough and end up wasting their minutes.

"prepaid plans allow you to buy minutes as you need them. You don't have to commit to a contract," explained Consumer Reports' Greg Daugherty.

Consumer Reports just evaluated the prepaid wireless plans from major carriers including Verizon Wireless, T-Mobile, and Cingular.  Phones for these plans cost about $30 for a no-frills model to well over $100 for a camera phone. Plans also range significantly in price.

"The more minutes you buy at a time, the less you'll pay for them. And before you buy, you want to figure out just what you're paying for each of those minutes," Daugherty said.

For example, the 100-minute TracFone refill card costs $29.99. That's about 30 cents a minute. But 400 minutes go for 79.99,  or just under 20 cents a minute. Daugherty has another consideration to ponder. "It's important to pay attention to the expiration date on your card because if your minutes expire, and you haven't bought new ones, you could lose your phone number."

Consumer Reports also says beware of carriers that tack on additional charges. For instance, the INpulse "Pay as You Go Plan" from Verizon charges 99 cents a day whether you use the phone or not. That can add up to a lot of money.

Also-look for sales to cut your costs.

Many discount, electronics, and office-supply stores sell prepaid plans and phones.

Consumer Reports Money Adviser says just like regular wireless service, you need to find out whether a service is good where you'll be using it.

Check the carrier's coverage map, then talk to family and friends in your area to see who's happy with their cell service.

Get more News »

• Email
• Print
• Report a typo
•