“Talk Nerdy to Me” is a technology column written by Derek Deulus to provide technological advice to the Boise State community.
If you’re due for a cell phone upgrade, then you owe it to yourself to upgrade. I’m not just saying this because it’s always great to get a new phone, but because if you don’t upgrade, then you’re just throwing away extra money to your cell phone carrier every month. And we all know, as students, every penny counts!
Everyone knows when you buy a new Apple iPhone or Samsung Galaxy, you are signing a contract for two years promising to pay something like $45 a month for service.
What most people don’t know is the actual retail cost of these phones are around $500-$700, and part of that $45 a month payment is hidden phone payments. So let’s say that you purchase an iPhone for $100. For every $45 monthly payment you pay, $19 is going towards your phone.
This means that 24 months later, when your contract is over, you have paid around $456. If you add to that your initial $100 you paid when you bought your phone, then your phone is officially paid off.
So why is your monthly bill still the same? This is where U.S. carriers screw us over and profit off of us. This is also the reason why you owe it to yourself to upgrade your phone. U.S. carriers already charge way too much for phone service, so don’t give them more money if you don’t have to.
If you want to save some money, as most students do, there is a better solution. Switch to T-Mobile. Not only are they one of the most affordable carriers in the U.S., but they also don’t pull any tricks.
They don’t have two-year contracts. Instead, you have a line of credit with them that you purchase your phone on. They create a phone payment plan for you that is added to your bill for a limited number of months, and once the phone is paid off your bill drops significantly.
Now you’re only paying for cell service without any extra hidden costs and saving money each month.