Why Prepaid Phone Service is only $50 a month but Post Paid is NOT?

[mildreddavis1]

  I am wondering why we can get a prepaid cell phone service with unlimited calls, texting and web browsing for only $50 a month BUT when I sign a 2 year contract and agree to pay monthly the SAME features cost $100 or more per month. 

[constance312003]

I am waying the pros and cons of this myself.  I hate being stuck in a two year contract.

[dreamyxo]

I haven't had a contract in over seven years and I will never go back to one.  I just use my phone for talk and text and I don't have all the bells and whistles. 

[jwallbank]

I am getting irritated with the contracts myself. I have been with the same carrier since I have had a cell phone (won't mention company), which is probably about 12 years. I am on a plan with 3 phones, everytime one goes kerplink on me I have to sign another 2 year contract to get a free phone. I personally don't care for the bells and whistles for myself and my wife, my son has texting for an additional $5. I have been with this company forever and they still require me to sign a contract for a new phone. The other thing is you cant get a phone anymore without the bells and whistles. I just want a phone that I can call, if I need to or in an emergency!!I don't need thousands of minutes on a three phone plan that I pay over $100 a month for.

[lynnc35]

Because they are going to take you for all you got. All the hidden fees they add, when they tell you your service is only so much until you get your bill.

[dreamyxo]

The other thing is you cant get a phone anymore without the bells and whistles.

Not true.  I got a new phone last year.  It doesn't even have a camera (never had a camera phone) or games.  It has internet but I never use it because the screen is so small. 

I have one of these.  LG 100c I only paid $20 for it  and it does just fine.  I just talk and text and that's all I need. 

[dbreidenbach]

I've been using prepaid for many years.   Years ago, one of the most popular companies sent me a cell phone that I had not ordered nor did I authorize.  It took over a year to get their mark off my credit, even though it was a scam that was rampant at the time.  Ever since, I went to prepaid and will never look back.  It's cheaper, and you use it the way you need it. 

[ptfunds]

I, too, like the prepaid service and stopped doing phone contracts a number of years ago.  It doesn't make sense and is a huge headache.  My choice for prepaid phones started when we moved to an area where my carrier didn't have service.  Under their contract terms if a user moved to a "non-service" area then the contract would be canceled.  We made such a move and it took a lot of tenacity and almost two years to get the issue of the contract settled. That's went I went to prepaid phones and I have been very happy with my choice.

[constance312003]

Thanks for all the information.  I am thinking of going to prepaid when my contract is up.  I have been with the same company over 20 years and my phone just died and they would not help in any way and would not even work to renew early so even a simple phone would have cost around $100.  It really made me think about the contracts.

[Onlinedou2]

I have a Lg 420g, She's perfect.

[davidh121]

Some people go towards the contract arrangement due to getting a smartphone discounted, but if you're not into that and can be satisfied with a no frills phone then I don't truly see the benefit otherwise.  As to myself I decided to separately pay for a smartphone and go towards a no contract prepaid arrangement.

[lorettahknox]

I wouldn't worry so much about why. Why is what it takes to realize you have been or are being ripped off. Here is an interesting concept at 100 dollars a month you would have spent 6000 dollars plus tax in five years to talk on the phone. If you are making at least 400 dollars a month by using the phone then it's worth it because the phone is paying for itself. If you do not make money  using this phone you are denying yourself the benefits you could have to do things that your family might need or you might need. Just a thought. A basic phone without all the bells and whistles is cheaper than thirty dollars a month roughly 360 dollars a year 1800 in five years much cheaper.