Prepaid Cell Phones

Who Uses Prepaid Cell Phones

Today most people have cell phones. It has become a way of life and a necessity for people around the country. This also pertains to people of all ages. Children playing outside often carry cell phones to get called in to dinner or to remain safe while playing outside. Teenagers often carry cell phones to talk to their friends and to stay in touch with parents while out. Adults use cell phones for both personal and professional reasons. The elderly often have cell phones for emergency use. Regardless, people of all ages have cell phones nowadays. While monthly rate plans with a particular service provider are still the most popular form of payment, prepaid cell phones are becoming increasingly popular. So who uses prepaid cell phones?

People who have no credit use prepaid cell phones. Because no credit is needed due to the fact there is no risk, prepaid cell phones are popular with the younger set who have not yet had a chance to establish credit. The plan is already paid for so the cell phone service provider is not assessing risk for non payment. Students who wish to have a phone but who have no credit often use prepaid cell phones.

People who have slightly damaged or even poor credit often use prepaid cell phones. For the same reason as not having credit, there is no risk to the provider if the person defaults on payment. You are paying in advance so if you choose not to renew or reset the minutes, no services have already been rendered. Using prepaid cell phones provides no risk to the carrier.

However, if a person chooses to attempt to get into a monthly plan, a credit report will be checked. Once it is established the consumer has poor credit either service will be denied or there will be a demand for a deposit in order to open the account. This deposit is typically rather large and well beyond the means of most people's budgets. So, those with poor or damaged credit often choose prepaid cell phones so they can have the convenience of a cell phone without having to pay large sums up front.

Many people choose prepaid cell phones because they do not use their phone a lot. Seniors and those who only use their cell phone for emergencies often find monthly plans a waste of money. Even with the most basic plan they are paying for a number of minutes but may only be actually using a small fraction of them. This may seem wasteful so prepaid cell phones are used instead. Using prepaid cell phones allows the consumer to feel they are only using as much as they purchased and they only purchase as much as they use. For those who rarely use their cell phone, prepaid cell phones are the ideal choices.

One of the universally accepted reasons for prepaid cell phones is the versatility it affords. Because cellular service providers are highly competitive, often you will see competing rates with various providers. Sometimes one carrier has the best deals, other times another one does. Plus there are customer service issues to consider as well.

If you are not satisfied with a monthly plan with your service provider you will have to pay a large sum of money as a cancellation fee in order to get out from under the contract you signed with them. However, with prepaid cell phones there is no need for a long term commitment with a particular provider. You can get out from a provider and switch to another one as often as you would like without penalty. Using prepaid cell phones gives you the flexibility to have a phone but still gives you the freedom to leave if you want.