CHOOSING A PLAN
Generally, there are three main types of plans
to choose from when selecting mobile, internet or telephone services. There
are:
THE TRADITIONAL WAY
- you receive a bill which outlines your usage, the charges and
gives you a date to pay. To protect your credit rating, make sure you pay the
correct amount when due.
PRE-PAID
- you purchase credits to make calls in advance. The promise of
free calls is a great way to lure customers in, but there are always hidden
terms and conditions you need to be aware of to maximise any benefits. For example – are
you charged at a higher rate if you hit your limit?
CAPPED PLANS
- available for both mobile phones and fixed line (home phone) services – you
agree to pay a certain amount each month for a minimum number of calls. Capped
plans are often promoted as a way of budgeting to cover your telephone bills – because
you know what you will be charged in advance. Be careful to check the contract
carefully for hidden charges for services which are not included in the capped
amount.
THINGS TO LOOK FOR IN MOBILE PHONE CAPPED PLANS
Capped plans
for mobile phones are offered by a variety of service providers with a range
of monthly rates. While capped plans can provide great value, it is important
to make sure you are not misled by pushy sales people willing to say anything
in order to pick up your business.
Before deciding what you really need in a plan, it is important for you to
consider the way you’re most likely to want to use your mobile phone.
For example, if you already have a mobile phone:
- how many calls do you make, on average, every month?
- what times are you most likely to make calls?
- do you call interstate or overseas often?
- how much are you currently being charged for calls?
Finding out what is included in the capped plan can be difficult when service
providers use confusing and complex language. Many consumers suffer from ‘bill
shock’ when they:
- exceeded the maximum cap and have been charged at a much higher
rate for calls above the limit
- downloaded material such as ring tones, music and photos which
are not covered within the capped plan and are charged at high rates
- thought SMS, photos and multimedia messages were included in the
cap but find these cost much more than voice calls
- didn’t understand that their plan included restrictions
on calls between specific hours, often peak times
- used the mobile phone outside of the metropolitan area or designated
boundary in rural and regional areas, incurring high call cost through other
carriers.
The best way to avoid ‘bill shock’ and to make sure you
enjoy the promised benefits of a capped plan is to take the time to compare
what companies are offering you. See as many services providers as you can.
If you already have a mobile phone, take your last few mobile bills with you
and ask the sellers to recommend a plan to suit your use. Before agreeing to
anything, make sure that you understand the terms and conditions of the contract
or agreement. Don’t be embarrassed to ask questions. Ask a friend or
relative to check the details with you so you’re clear about what is
being offered, what is not included and how much your bill should be. Check
the rates and charges for different times of the day and for calls to and from
different locations.
