Hw to avoid using cell phones

Contract with cell phone - avoid cost trap after two years

Many mobile phone customers use mobile phone and tariff contract packages, so-called bundle contracts. With the tariff they receive a new mobile phone - which is then paid off over the duration of the contract. What many do not know: After 24 months, the device is paid off. But if the contract continues, the costs are by no means adjusted. Instead, the monthly basic fee remains unchanged and consumers continue to pay - for a service that they do not receive at all.

Tip: Loyalty doesn't pay off, especially with bundle contracts - cancel your contract in good time at the end of the term and avoid unnecessary costs.

If the mobile phone contract is not terminated in due time, it is automatically extended for another year. Many consumers are completely surprised by the unchanged bill: Most assume an automatic price reduction. Instead, they pay up to 15 euros a month in addition.

Consumers then only have the option to accept the additional costs - or to extend the contract for a further two years and thus finance a new smartphone. There are exceptions to the practice described, but only in the case of individual bundle contracts is a separation between hardware and contract made in the calculation of the contract.

What are the advantages of bundle tariffs?

If you don't buy your cell phone separately, but subsidize it through a cell phone contract, you don't have to pay the device costs in one fell swoop. Instead, they are divided over 2 years and added to the monthly basic fee. Especially those who rely on expensive, cutting-edge smartphones can easily cope with such high acquisition costs.

By the way: take a critical look at offers for which smartphones are advertised as 1 euro bargains or even for free. The mobile phone providers recoup the hardware costs through the monthly basic fee. However, the actual costs for the device and tariff are not always transparent.

With old contracts, consumers pay on top

24-month contracts should generally be checked before the minimum term has expired. Many customers are still stuck in old contracts with significantly worse conditions than today.