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Money Leaks: Cell Phone Overtime Charges

Posted By Jim On 10/27/2011 @ 7:18 am In Personal Finance | 6 Comments

Cell phones and cell phone service are already pricey but nothing compares to how much extra you’ll pay if you go over your plan’s minutes. A typical 450 minute plan from Verizon will cost you $39.99 before any taxes and fees. Use a single minute over 450 and expect to pay 45 cents a minute. A 250 text message plan will cost you $5 with each extra message at ten cents a pop.

Those rates are typical and going over can be very costly. (let’s not even talk about data… in today’s age of smart phones, going over on data can be killer)

This is the latest edition of our new series called Money Leaks. [3]

The easiest way to avoid this is to keep track of how many minutes you’ve used in a particular month. While there are plenty of applications out there, the easiest way is to use whatever your provider gives you. For example, Verizon and T-Mobile will tell you the number of minutes you’ve used if you dial #MIN. Sprint customers have to dial *4 and go through prompts. Everyone can log onto their provider’s website to check your balance.

If you see that you’re using more minutes than you expected, increase your plan. The 450 minute plan costs $39.99 and the 900 minute plan costs $59.99, the difference is about 45 minutes of call time. Or call during off peak times.

What are you tips for avoiding overages?

(markjsebastian [4])


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