Why Pay as you go is a waste of money.

Allow me to begin by saying that this is only MY opinion, so don't tear me to shreds! It’s just at this point I can’t see how people can still be on pay-as-you-go. First things first, the average person aged 18-24 is bound to spend at least £20 - £30 a month on pre-pay credit so what’s to stop them getting a contract for the same price? There are a wide variety of pay monthly plans out there for everyone, starting from £5 per month. A person doesn’t just need to take out some golden package as carriers now generally offer sim-only or simplicity plans, which are pay monthly tariffs that can be set up with easy direct debits, but there are no contract lengths involved.  These are cheap alternatives to contracts and are kind of half way between pay&go and pay monthly.

What I don’t understand is people’s scepticism and sheer lack of trust when it comes to pay monthly. Although I’ve heard a fair share of horror stories of people with huge bills, but I the reasons why where always quite apparent. I was always just too nice to point it out to them. The only people that shouldn’t be on contract are those who don’t understand them. Anyone who is complaining about the price of their phone bill after they just got back from holiday where they called, texted and facebooked every person and their cousin is quite blind sighted. Don’t use your phone abroad, well….don’t use it that much, it will cost a fortune whether you’re on pay monthly or pay&go.

Now, we can’t mention pay as you go without making some swooping comment to the cheapos on O2. That’s right! And it can’t be denied. O2 pay&go is the cheapest and best option for anyone. Well I say ‘anyone’ but in my opinion it should be mainly directed to children and the elderly because they can get the most benefit out of it. If person finds that there spending £30 a month on credit, whilst using a useless, problematic and frankly ridiculous handset, they should know that contract is the way to go. A £30 a month contract will generally get you around 6 ½ hours (400minutes) talk time, 500+ texts, a load of internet usage and maybe some extras like photo messages or sat-nav PLUS a freaking sweet phone (in most cases).

On the other hand, £30 a month on pay&go will generally get you unlimited text (depending on network), a maximum of 3 hours talk time and if you’re lucky a small bit of internet. BUT with that you’re still going to have to cough up an average of £50 - £200 for a handset, which will in most cases be defective or the network will not give you the service you want. Pay and go customers must be constantly unhappy when their phone breaks, because they get absolutely no help! The reason for this is I’m afraid, you’re just not important to the network. Approaching a sales person and saying “my pay as you go Nokia is broken and I have been with o2 for six years bla bla bla” won’t get you anywhere.

Pay monthly customers are the only customers companies generally care for, because they’re tied tight with fixed rate. That is maybe only thing that can give pay’n’go customers the upper hand over pay monthly customers. Pay’n’go have a choice, but contract customers do not. A pay as you go customer can top up £10 one month and £50 the next, but pay monthly customers must pay off their contracted tariff amount each month no matter what their level of usage that month.

Take from this what you will but personally I have never had any problems with any pay monthly service, from any network. But I can say fairly if you’re pay&go you better be O2 and if you’re contract you better be Orange. Vodafone lies somewhere in the middle, and is sort of a happy medium. But finally one thing you need to know about contracts is….. GET INSURANCE!

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Thanks to Kevin smith for the proof reading :)