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Working out the best value - buying phone outright vs contracts

/EINPresswire.com/ Today lots of new mobile phones can cost similar amounts to a new laptop, meaning that signing up to a running, monthly contract for a two-year period can seem a pretty attractive deal. That said, is it really better value to sign up to a 2-year contract or is there better value to be had by purchasing a phone outright?

Leading mobile price comparison website Compare Mobile Plans, which helps people review deals on all the latest offers from companies like Optus mobile, is able to help people find the right deal for them.

iPhone 4s
The newest mobile device from Apple, the iPhone 4s, offers every latest app including voice recognition software and much more. The price of the device though, at $800, can be enough to put many consumers off.

So the question to ask could be - is it worth investing all that money in the latest iPhone 4s 16 gigabit version, buying it directly from Apple , or can better value be had from a mobile service provider?

There is an Amaysim mobile plan available which offers a saving of $378.40 throughout the duration of a 24-month contract when compared with Virgin Mobile's 'Topless' plan.

There are benefits inherent to a light user plan though, with deals available from the likes of TPG equating to $1039.76 over 2 years - which works out marginally cheaper than Virgin Mobile's Fair Go $29 plan. At present though the best value deal to be had for light users is the Optus $19 plan.

Flexibility exists when buying phones outright however, since purchasing the phone up front means that you can change providers on your own terms and are not so tied to a contract.

24-month vs month-to-month
But of course not all consumers can afford to blow up to $1000 on a phone all in one go, which is where credit cards come in. However it is worth remembering that savings made by buying a phone outright can be foregone with credit card interest payments. However signing up to a contract can also offer consumers greater peace of mind in the long run since any problems they have are covered by warranty and customer support commitments on the part of the provider.

Getting the best value for your smartphone
Some good value phone deals can be had through SIM only deals from providers like Amaysim or TPG - but consumers can help themselves too. Work out your likely usage, what sort of plan best fits your budget and then find the right provider for your requirements.

Research providers and plans before you walk into the mobile shop - straight comparisons in person rarely deliver true pictures of contracts. In one example the Virgin plan mentioned previously seems good thanks to it offering $190 worth of calls versus $180 with the TPG plan 180. Factor in Virgin's higher call charges and flagfall fees however and TPG is actually better value.

Sarah McDonald, spokesperson for Compare Mobile Plans, says: "We can help people to make the right choices for their needs - whether they need to sign up to a continuous contract or if there's better value in buying a phone up front. Our site lets people compare all the latest offers from providers, whether they're looking into HTC mobile phones, iPhones or whatever."
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About Compare Mobile Plans
Compare Mobile Plans is a free, independent comparison website for consumers looking for a mobile phone plan in Australia.

For further information please contact:
Scott Kennedy, CEO, CompareMobilePlans.com.au
E: s.kennedy@comparebroadband.com.au
T: (1300 850 518)

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