This is not a trick question. But it’s one that AT&T, by trimming its text plan options to two—unlimited for $20 monthly, or a la carte texts at 20¢ apiece—is forcing customers to ask themselves.
How much do cell phones really cost? Here’s one indication: The average household pays $350 annually—solely for wireless taxes and fees.
No long-term contract is required on the LG Thrive, which AT&T will begin selling in mid-April. The upsides here are that there users are charged for actual usage—not via a steady monthly bill—and there are no worries about early termination fees. As for other charges associated with the phone, there are plenty.
Are the rumors of a less-expensive, no-contract “iPhone Nano” true?
“If you’re willing to go to the trouble of dialing your own number, waiting for the prompt, hitting 2, and then dialing the number you really want, then, yes, you get a free cellphone call. You’ll never be billed for any minutes at all.”
When Verizon announced it would be selling the iPhone, a certain breed of consumers were overjoyed with the prospect that they’d soon be able buy an iPhone without an AT&T contract, and without the restrictions of an AT&T limited-data plan. Verizon iPhone customers should be able to pay a flat $30 all-you-can-eat fee for data. [...]
“There’s no water faucet in my house that I could turn — intentionally or accidentally — that would lead to a $68,505 bill for the month.”
“You could be charged based on usage or by speed difference, or you could do both. There are no definitive answers here.”
There are more no-contract options than ever before: You can prepay your bill or pay as you go, and, if you decide you don’t like the phone or the payment terms, you can walk away with no termination fees—which might cost you over $300 if you were locked into a wireless provider contract.
By one estimate, 70% of cell phone users are “way oversubscribed,” meaning that they’re paying—overpaying really—for a plan with more minutes and texts than they need.
AT&T is getting rid of unlimited data plans, meaning—the horror!—people with iPhones and iPads might actually have to monitor usage.
