Save money on your phone bill in five easy steps

There’s one luxury none of us want to compromise on and that’s our phone. Mobile phones are now so much part of our daily lives that we no longer consider them a luxury, even though they are.

So how can you save money on your phone bill without going without?

Save money on your phone bill without impacting service

Saving money on your phone bill is easier than you might think. It’s made even easier, and cheaper, if you don’t need a brand new phone every time you renew!

1. Analyse your usage: Take a close look at your phone bill to see how much data, talk time, and text messages you’re using each month. Understanding your usage patterns will help you choose the most suitable plan for your needs, avoiding overpaying for services you rarely use.
2. Consider SIM-only deals: If your current phone is still in great shape, consider switching to a SIM-only deal. These plans typically offer more data and minutes for a lower price since you’re not paying for a new phone. SIM-only deals are perfect if you’re happy with your current handset and want to reduce monthly expenses.
3. Shop around for deals: Don’t settle for the first offer you come across! Check out different mobile providers and compare their deals. Don’t forget resellers either. There are usually exclusive online discounts, special deals for students or young professionals, and time-limited promotions around.
4. Bundle up your services: Think about bundling your mobile phone plan with other services like broadband or TV packages. The main providers offer discounts when you bundle services together, saving you money in the long run. Plus, it makes managing your bills easier!
5. Monitor your data usage: Be mindful of data consumption to avoid costly extra charges. Connect to Wi-Fi whenever possible and consider using data-saving apps that help you track and control your usage.

Bonus tip: Don’t be afraid to negotiate! Sometimes, providers have hidden deals or incentives available that they may not initially offer. Call their customer service and inquire about any available discounts or loyalty rewards or discuss it with someone in store.

The benefits of SIM-only deals for saving serious money

While I shared 5 ways to save money, the SIM-free option will save the most. As it could save you £20-30 per month, let’s explore it further.

Let’s break down the benefits and downsides of these deals so you can make your own mind up:

Benefits:

1. Cost-effective: SIM-only deals are generally more affordable compared to traditional phone contracts that include the cost of a handset. Since you’re not paying for a new phone, the monthly charge is significantly lower, allowing you to save money in the long run.
2. Flexibility: With a SIM-only plan, you’re not tied to a long-term contract, as many providers offer 30-day rolling contracts. This flexibility means you can switch to a different plan or provider whenever you want without any penalties.
3. More data and minutes: Since you’re not paying for a device, mobile providers often allocate more data, talk time, and texts in SIM-only plans compared to phone-inclusive contracts. This is particularly beneficial for heavy data users who want a generous data allowance.
4. Keep your phone: If you love your current phone and it’s still in good working condition, a SIM-only deal allows you to keep using it. There’s no need to upgrade to a new handset if your current one meets your needs, saving you money and reducing electronic waste.
5. Short-term commitment: If you’re uncertain about your future needs or plan to upgrade to a new phone soon, a SIM-only deal is an excellent option. You’re not tied into a lengthy contract, so you can switch to a different plan or upgrade your phone as soon as you want.

Downsides:

1. Upfront cost for handset: If you don’t already have a compatible phone, you’ll need to purchase one separately at full price or through a financing option. This can be a bit expensive upfront, but it’s balanced out by the lower monthly costs of the plan.
2. No subsidised phone: Unlike traditional contracts that offer subsidised phones, you’ll be paying the full price for the device upfront or in instalments with a SIM-only deal. However, this can be a positive aspect if you prefer to avoid long-term commitments.
3. Limited phone upgrade options: If you like upgrading to the latest phone models frequently, SIM-only deals may not be the best choice. You’ll need to purchase the new phone separately, which can be expensive if you’re switching to the latest flagship model.
4. Not suitable for everyone: Some people prefer the convenience of getting a new phone bundled with their plan, and SIM-only deals might not meet their preferences. These deals are more suitable for those who are content with their current phone or looking for cost-effective options.
5. Potential compatibility issues: Not all phones are compatible with all networks. Before choosing a SIM-only deal, ensure your phone is unlocked and supports the frequencies used by the provider you intend to sign up with.

SIM-only deals are an excellent choice for those who want flexibility, cost savings, and more data without the commitment of a long-term contract.

They are especially beneficial for people who have a compatible phone and prefer short-term commitments in their mobile plans.

However, keep in mind that purchasing a new phone upfront can be a substantial upfront cost.

Saving money on your phone bill

As you can see, it’s entirely possible to save money on your phone bill without having to ditch the phone altogether.

Even if you don’t feel like going SIM-only, there are deals to be had and it’s always worth a haggle.

It may be tempting to pay for unlimited everything, but that costs extra. It’s only worth it if you genuinely think you’ll need it, otherwise it’s another missed opportunity to save some money.