Mobile plans

09 Apr 2013

In the age of data plans, smsing, mmsing and apps, choosing a mobile phone plan can be daunting, especially if you’d just like to use your phone to make and receive phone calls.

There are two types of mobile phone plans in Australia – prepaid and post-paid. Prepaid means that you load a certain amount of money onto your phone to use that can be topped up when needed, whereas post-paid is usually on a contractual basis and you are given a set amount of credit to use according to how much you pay.

With post-paid plans, it usually requires a monthly payment ranging from $20 to $99 or even more. In return for your payment, you’ll receive an amount of credit for calls and messaging and a data limit to access the internet, inbuilt in your fixed payment. If you go over your amount, you can still use your phone as normal, but you’ll be charged extra. Some plans also include an inbuilt amount added to cover the purchase of the handset.

When deciding what handset and plan to choose, there are a number of questions that you should ask yourself.

What will you be using your mobile phone for?

Will you be using your mobile phone purely as a phone to make and receive calls or text messages? Or, will you be using the internet too?

If you’re only using your mobile as a phone, a basic handset may be the go. If you don’t wish to use the internet, make video calls or use MMS, purchasing a more sophisticated handset may mean you’re paying for features you don’t want or need.

This will also determine what plan you purchase. Whether it’s a prepaid or a post-paid, if you’re only using it to make calls and send text messages, then a low-cost plan should suit you fine. 

What are your usage patterns?

Look at how many times during the day you’ll be using your phone and how long, on average, your calls will be. If you plan on using your mobile phone more than your home phone, then it may be best to pay for a more expensive plan so you get more call time included.
This also applies for internet. If you’re planning to use your mobile phone to access your emails, surf the web or use social media, it may be best to get a plan that includes a large amount of data.

What features will you need in a handset?

Do you need a smartphone or do you just want it because it looks like fun? If you’re not going to use your phone for anything but calls and text messages, including a smart phone in your plan can be costly. Smart phones can also be quite small to read from.

If you’re keen to have mobile internet access, an alternative can be to get a basic handset, and then look into purchasing a tablet.

What is your budget?

If you’ve only got $30 a month to put aside for your mobile phone usage, there are still plenty of choices when it comes to your mobile phone plan. Prepaid is a good option to keep you on budget as you can only spend what is allocated. If you’re on a post-paid plan, even if you’ve used up your monthly spend on phone calls, texting and the internet, you can still use your phone, you may just face a hefty bill for going over your plan.

Where to now?

Once you’ve decided which handset to use and whether to go for prepaid or post-paid, it’s important to shop around. Telcos can be quite competitive when it comes to pricing. Always make sure to ask about call costs, data inclusions, what rate you’ll be charged for calls or data if you go over your allocated usage and international rates if you’re planning to travel. Also, it’s a good thing to ask if the provider has a BYO plan, which means you provide the handset yourself.  

There are definitely added benefits around when it comes to mobile phone plans such as free calls between numbers with the same providers or free messages when you sign up to a plan. What’s important is that you ask questions if you’re unsure and you do the research.