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More People Are Saying “No” to Contracts

In 2009, 18.2% of cell phone users had no-contract phones.  In 2010, that number rose to 21%.  According to experts, 2011 will see even more turning to no-contract phones.

As more people begin to understand the value of recycling old cell phones, the market for affordable refurbished phones is growing.  This, in turn, provides cell phone users with an alternative way to get a high-end SmartPhone or cell phone without having to sign a contract.  As a result, more people are opting for no-contract plans.

According to advertising, most no-contract plans provide equivalent or superior packages than the contract alternatives: with unlimited talk, text, and downloads for as little as $50 per month.

Let’s face it; a lot of people enter into a contract because they see it as a way to get an expensive phone for ‘cheaper’.  But, as a result, they end up paying sometimes substantial sums for services they don’t actually use.  And, contracts have gotten longer.  It used to be the case that a contract meant six to 12 months; now it is 18 months to two years.  Add to that the fact that most of the unlimited contracts are much more expensive than their non-contract equivalents (because someone has to pay for the phone) and the idea of buying your own phone and going no-contract becomes attractive.

I have a no-contract deal and I love it.  For much less than what I would have paid for via a contract, I have more than ample access to data, voice, and text.