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The Secret: How to Save Money on Your Wireless Bill

Updated on March 9, 2016

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We All Make Mistakes

Human beings are emotional buyers. Consider the car buying example. Very rarely do we buy the car that is the lolgical choice. You know... the one that is environmentally friendly, good on gas, and used. Too often we get talked into buying the dream car, that will make us look cool and give us status amoungst our friends. This fact is how car salesmen make their living. Earlier today I heard about a 24 year old, who makes 19K per year and was talked into buying a 16K car! Well, I hate to break it to you... the cell phone industry is the same way! People get stuck in the cycle of purchasing the newest model cell phone year after year. But wait, they got it for a "deal"... or so they thought. Does the offer: 2 free cell phones with a 2 year contract sound familiar to you, or $200 down with a two year contract? When you enter into a "deal" such as this, you usually have a hefty bill that comes along with it, usually somewhere between $80-$200 per month! That is $960-$2400/ year!

What most people do not realize is that there is no such thing as a free cell phone. The cost of the phone is spread out over the monthly payments of the 2 year contract, with interest! One would think that after the 2 year contract was finished, their cell phone bill would drop, since at that point the phone is theoretically paid in full. Good luck with that! Rarely do cell phone bills ever decrease without you having to downgrade service such as minutes or data. Instead, what usually happens is that you get talked in to purchasing the newest FAD device and renew the contract for yet another 2 years!

Break the Cycle

So what can you do?

  1. The first thing you need to do in order to make a better decision, and potentially save hundreds even thousands of dollars per year, is find out how much data and minutes you use per month. You can usually find this information on your bill or by calling your current provider. Very few people need to pay the ever increasing price of "unlinited data" the fact of the matter is that wifi is readily available and most people use 1-2 GB per month, and people who are on the road often, do not have regular wifi access, or who do a lot of streaming or gaming use 4-6 GB of data monthly.
  2. DO NOT ENTER INTO A CONTRACT! Buy your phone outright and choose the appropriate plan. There are so many options out there for purchasing cell phones. You can buy new, refurbished, or used on sites like ebay or amazon. When looking to purchase your new cell phone, ask yourself if you really need the newest device out there. Purchasing the newest version of a device will usually cost upwards of $600. If you are willing to get the previous years model, you may see savings of up to 50% on the cost of the device. Going back to the car buying analogy buying, a new cell phone is like buying the $25K car whose value depreciates the second you drive it off of the lot. Whereas, buying old is like getting the used car, which you are more likely to get your money back or at least minimize your loss at resale. Also, take into consideration that typically, within a couple of months of the release of a new model cell phone, a software update is available for the older models, FOR FREE!
  3. Stop doing business with the Big Name Cellphone Companies. You know the ones I'm referring to... the ones depicted by Red, Blue and Yellow balls rolling down a track. With name comes expense. Do not fear that you will be giving up reception and connectivity speed. What you probably do not know is that there are only a few networks, which are owned by these top cellular providers. In turn the smaller companies rent the cellular network from one or more of the top providers. This means you can get same and sometimes better reception by using a lesser known cell phone company, and not have to pay the high prices. Do shop around because there are some companies with worse reception. Keep in mind that signal stregnth and quality of a particular company varies according to geographic location.

So Many Choices

Did you know that there are over 100 Cell phone companies, also known as mobile virtual network operators in the United States alone. Instead of going with one of the "Big Four", why not go with a smaller company and save yourself some serious cash. Having so many companies to choose from is beneficial because it creates competition and diversity in the market. Why is competition beneficial, you ask?

Competition is beneficial because it:

  • keeps prices down
  • encourages advancement in technology, whether it be tower or product development
  • provides freedom of choice

You can click the hyperlink above to learn about some United States provider options that you may not even know exit. Pay close attention to the BYOD (Bring Your Own Device) option. Choosing a company with this options is, in my opinion, imperrative. This allows you to not only shop around for the best plan price, but also the best phone price. Opening the door for you to buy new, used, refurbished, or even get a hand-me-down from a friend or family memeber. Also, now that you have learned to avoid contracts, there isn't any harm in trying a smaller cell phone carrier. If you don't like the service, you are free to switch to another carrier at any point.

5 stars for Flash Wireless

Flash Wireless

One small cell phone service provider, that I have both personal and second hand knowledge and experience with, is Flash Wireless. This highly recommended company is little known because they don't harass you with advertisements. Instead, they save billions of dollars on advertizing by growing through word of mouth. So from my mouth to your ears (or more accurately, from my Hub to your eyes), when doing your due dilligence in selecting the cell phone service provider that is the best fit for you, look into Flash Wireless.

Imagine getting your cell phone service for FREE each month!

Why Flash Wireless?

  1. Competative rates
  2. No contract
  3. Bring Your Own Device option, with verification process to ensure your device will work on the service
  4. Your choice of either the Verison, Sprint, or AT&T/T-Mobile network
  5. Excellent Customer Service
  6. Regular charitable contributions to Project Feeding Kids
  7. Potential to get your service for free

That's right, FREE! A few cell phone service providers offer various programs to either get your service for at a discount or free. Can you imagine being able to use your cell phone without worrying about how much data you have left, or if there is wifi where you are going, or having to worry about how many text messages your child is sending. Ask the provider you are considering if they offer a way to get discounted or free service. With Flash Wireless, just refer 5 friends and your service is now free.

2016 Comparison of Actual Customer Bill with Top Company vs. Flash Wireless a Small Company

Product
Features
Price
ATT
Smartphone plan with 2 phones on a contract, unlimited talk and text, and 2 GB data per line
$140
Verizon
Smartphone plan with 2 phones on a contract, Unlimited talk and text, and 5 GB data per line
$189
Sprint
Smartphone plan with 2 phones on a contract, Unlimited talk and text, 12 GB shared data
$140
Flash Wireless ATT (green)
Smartphone plan with 2 phones NO contract, Unlimited talk and text, and 12 GB shared data
$115
Flash Wireless Verizon (purple)
Smartphone plan with 2 phones NO contract, Unlimited talk and text, and 6 GB LTE data per phone, unlimited reduced speed data thereafter
$99
Flash Wireless Sprint (yellow)
Smartphone plan with 2 phones on a contract, Unlimited talk and text, and 8 GB shared data
$99

Choose Whichever Carrier You Want, Just Be Sure to Make an Informed Decision

Hopefully you have gained some knowledge from this Hub, and now possess the tools and determination to shop around for the right wireless service provider for you, and save some money for your family at the same time. Before you shop around remember to find out what you are currently paying for and how much data and minutes you actually use each month. Find out the absolute most you have ever used. I bet the answer will be surprising. Stop paying for something you have not and will never use. Saving just $15 per month on your bill equates to $180 per year. Doesn't sound like much, right? Imagine saving $100 per month on your bill, that is $1200 per year! Better yet imagine getting your cell service for free. You could really make a dent in your debt, take that vacation you have been putting off, or so much more.

© 2016 Amanda S

Please Feel Free to Comment With any Questions, Suggestions, or Helpful Information

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    • aDayInMyLife1 profile image
      Author

      Amanda S 13 months ago from CA

      Great job RonElFran as I said the important thing is to make an informed decision. There is something for everyone. I personally need the data and wanted to keep the name brand smart phones. The method I discussed and Flash Wireless enabled me to do that and saved me $2040/year. I am glad that you are amoung the wise and arent throwing your money away.

    • RonElFran profile image

      Ronald E. Franklin 13 months ago from Mechanicsburg, PA

      I just signed up for a prepaid Verizon plan that compares pretty well with those you list. It's actually a little cheaper than the Flash Wireless plans you list, but with a lower data allowance. But actually we'll probably switch to their "no data" plan that's $30/mo less for the 2 phones since anything we want to do on the internet can be done with WiFi, for which there is no charge. I purchased 2 slightly down level phones online for less than $40 each, so in light of what you share here, I think we probably did about as well as we could.

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