Cheap Cell Phone Plan

Do you have a cheap cell phone plan?

Are you looking for an inexpensive cell phone plan? Do you feel like you pay too much for your current cell provider? Well, if this is you, know that you are not alone. My wife and I have had T-mobile for years and paid about $125 per month for two cell phones. We had one with an unlimited data package of up to 2GB of high-speed data and the other just had unlimited text messaging but no data. That was the best deal I could find at the time, however, I have recently found an even cheaper plan.

If you have T-Mobile as your cell phone carrier, then you might have heard that they have two different types of plans: Classic and Value plans. We had the classic plan for years and never even knew the other existed. I have a friend that recently switched over to the Value option and when he told me how much he saved a month, I just had to look into it for our phones. I called the customer service department and asked them if they could tell me how much less our payment would be per month if we switched. The representative told me that we would save more than $40 per month and that we would have the same features!

Comparison of the T-Mobile Classic versus Value plans:


TMobile Value VS Classic Plan

What is the catch?

There are two things to be aware of:

1. The main difference between the Classic and the Value plan is that the Classic gives you a discount on a phone when you upgrade. Perhaps you have bought a $400 phone for $100 when they told you that you were able to upgrade, this would be why. However, I did the math and the discount didn’t make sense in our case. If we save $40 per month by changing over to the Value plan then that is a savings of $480 per year! I think I can afford to buy whatever phone I want for that price.

2. There is potentially a fee to switch if you are an existing T-Mobile customer. The representative that helped me over the phone said that it would be $150 to switch. I told him that it seemed high and asked him if there was anything he could do to reduce the cost. He then said that he could do it for $75 because we were a long-time T-mobile customer. I processed that for a second and said let’s do it. The reason why I was able to make the decision so quickly was that we would recover the cost in two months of changing our plan (2 x $40= $80).

What are we going to do with the extra savings?

Are next big goal is to pay off our home in the next 5 years. So any extra cash that we receive, we are going to use that to pay off our mortgage early.

What would you do with an extra $480 per year? Looking for more ways to save money? Check out 10 Ways to Trim Your Budget.