Have you become tired of your current mobile phone contract? Not only are these programs notoriously inflexible in regards to your options, but you could very well be getting overcharged on a monthly basis. Some recent statistics put this decidedly stark observation into perspective. Did you know that the average smartphone user in the United Kingdom is paying £439 pounds each year in order to ensure uninterrupted service? This equates to roughly £5 billion pounds in terms of the entire nation.
Of course, these observations are even more concerning if you happen to be watching your budget. The main question, therefore, involves the options at your disposal. While canceling a current contract may appear to be slightly extreme at first glance, we need to keep in mind that there are many alternatives to consider.
Some of the most popular examples can be seen in the growing presence of SIM-only deals. How do these plans work? Are they applicable to any phone? What are the distinct benefits and what do you need to know before choosing a plan? Let’s take a look at each of these questions in greater detail.
SIM Only Deals: The Best of Both Worlds
As we all know, every smartphone needs a SIM card in order to function properly. These cards essentially provide the “identity” of the unit in question. They also store important information such as your telephone number, your contact, and additional data including images (if desired). So, what is the difference when referring to a SIM-only package?
SIM-only deals involve the fact that you are not tied to any type of contract. Instead, you are required to top-up the card on occasion once its credit is depleted. While minimum levels will vary, the majority of providers require at least £10 pounds between cycles. Be sure to check out the exact details within the terms and conditions when choosing a plan.
Another main difference is that the SIM card is not tied to a single phone. To put it another way, you can easily remove this card from one phone and place it into another. All relevant details (such as call history, phone number, and contacts) can be accessed if required. This is not normally possible if you purchase a new phone on contract, as the SIM card can only be used with that specific make and model.
A Second-to-None Sense of Flexibility
As we mentioned in the last section, you can also choose how much credit is on the SIM card at any given time. In terms of a standard contract, you are provided with set variables in terms of voice minutes, SMS messages, and data usage. So, what is the problem here?
The primary issue is that you could very well be paying for minutes and/or data that are never used. This is essentially akin to throwing your money away.
SIM-only deals are unique in the fact that you can choose to place funds into the account at your discretion. You will be able to more effectively manage your budget and when the need arises, funds can be deposited in a matter of seconds.
This sense of flexibility also translates to the SIM contracts themselves. The majority of contracts offered by major providers are associated with a minimum length of between 18 months and two years.
This can be problematic if you are uncertain what the future may have in store or if you are not certain if you wish to remain with the provider. SIM deals can be activated on a month-per-month basis. This is why they are sometimes referred to as pay-as-you-go (PAYG) plans.
Additional Benefits of SIM-Only Packages
We have just seen some of the reasons why SIM-only deals are highly desirable in terms of financial flexibility. However, there are other reasons why these bundles could be a great idea if you are tired of being overcharged.
We mentioned contractual obligations in the previous section. Let’s assume for a moment that you are currently locked into a 12-month contract and yet, you wish to upgrade your phone to a newer model. This can be very difficult, as the provider will likely ask you to renew your contract; essentially forcing to you remain committed for a longer period of time.
In terms of SIM deals, you can simply purchase a new phone (such as one equipped with 5G wireless capabilities) and switch the card. This will save you even more money in the long run and more importantly, you will not be forced to use an outdated or otherwise low-quality phone.
Finally, SIM-only plans can be used as dual-purpose options. This can be possible if you happen to own a smartphone that is able to accommodate two SIM cards. One may be intended for personal use while the other can be allocated for work-related purposes.
Making the Right Choice at the Appropriate Time
It is now a foregone conclusion that SIM-only plans offer a number of unique advantages when compared to overcharged contracts. So, how can you choose the right program for your needs? The first suggestion involves shopping around at different websites.
Assuming that you have found a handful of providers that seem promising, navigate to third-party portals that are able to offer side-by-side comparisons of the firms in question. This is a great way to enjoy a greater level of transparency during the decision-making process. Here are a handful of other professional recommendations to keep in mind:
- Take a look at the length of the associated contract.
- Determine if the deal offers international service if you plan on travelling abroad.
- Ask about your customer service options in the event of an issue.
- What types of payment methods can be used to recharge the card?
SIM-only plans are growing in popularity and this momentum shows no signs of abating. If you are fed up with paying for an overcharged contract, these could very well provide a breath of financially fresh air.
