CHOOSING A MOBILE PHONE SERVICE
With so many choices it can be difficult to decide which deal is best for
you. This can be made even more difficult when the people trying to sell you
their service promise everything from free phones to free calls to free downloads.
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?
Almost everything you use your mobile phone for incurs charges. The company
which provides your service is required to set out terms and conditions, fees
and charges in a contract which you need to understand before you agree to
it.
If you choose to use your mobile phone to:
- subscribe to SMS chat rooms
- request SMS updates
- order ring tones
- download music
- download images
- vote via your phone for surveys like ‘Australian Idol’
- enter competitions
- use 3G to enable access to the internet from a mobile phone to
use email, receive sports results, news stories -
it is important to find out exactly how much it will cost to use the service
and, in the case of SMS and ring tones, how much it will cost to cancel or
unsubscribe.
If the call charges and rates flash past on TV very quickly or appear in small
print and confusing language, it is hard to know what you’ll have to
pay and what it is you’re really ordering. So be aware that lots of people
get caught out with high bills for:
• receiving SMS and other things they haven’t ordered
• unsubscribing
• talking or texting in a chat room
• early termination or cancelling a service before the end of the
contract.
CHOOSING A PLAN
Generally, there are three main types of plans to choose from. There are:
POST-PAID
You receive a bill to pay in a similar way to a fixed line service, and it outlines
your usage and charges. You might choose to include a new mobile phone in your
deal or use one you have already. Make sure you keep track of your usage to
avoid an unexpectedly high bill.
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. Some plans include payments
for a mobile phone in addition to call and service charges. Often you don’t
need to sign anything, but you still need to be aware of the conditions. For
example:
- what happens if you’ve used all of your credit?
- can you still use the mobile until you deposit more money?
- how much are you charged to make calls when your credits runs
out?
CAPPED PLANS
Capped plans for mobile phones are offered by a variety of service providers
with a range of monthly rate. Capped plans are often promoted as a way of budgeting
to cover your mobile phone bills – because you know what you will be
charged in advance.
AVOIDING BILL SHOCK
Finding out what is included in the mobile service you choose 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 charged at high rates
- thought SMS, photos and multimedia messages were included in the
deal but found they were not
- were mistaken as to the cost of SMS, photos and multimedia messages
- 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
- are charged an early exit fee when terminating the contract.
The best way to avoid ‘bill shock’ and to make sure you enjoy the
promised benefits of a 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 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. 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, too.
If you receive an unexpectedly high bill or have any other problem, contact
your service provider and ask for an explanation. It is best to write a letter
to the company outlining your concerns. Request that they reply to your complaint
in writing and keep their letter in case you need it in future. If you don’t
get a response or you’re unhappy with it, you can contact the Telecommunication
Industry Ombudsman (TIO) who will work with you to resolve the issue.
RURAL, REGIONAL AND REMOTE
If you live in or visit a rural
or regional area, you need to be sure that the wireless or mobile service you
receive is reliable and has a wide coverage. Check whether the charges are
higher if you call from outside a certain area or boundary. You don’t
want to find that the cheap call rate you signed up for doesn’t apply
where you use the mobile phone most.
USEFUL LINKS
