Victor Bezrukov/Flickr
I went over my cell phone minutes the past two months and the overage charges bothered me so much they seeped into my sleep. Two nights ago I dreamed that I called AT&T and asked them to bump me up to a more expensive plan and forgive my overages.
And they did!
I woke up refreshed and wondering if I had actually called AT&T. Turns out the dream – and the overage forgiveness – was just that.
Drat.
I decided to call and ask if my new plan was pro-rated, giving me a few more minutes until the beginning of the month when my plan resets. While on the phone with a nice gentleman named Rham I asked if it was possible to forgive my overage charges this month, seeing how I was a loyal AT&T customer who always paid my bill on time.
“Let me see what I can do. Please hold.”
Rham came back on the line. He couldn’t immediately credit my account for the overages but put in an “adjustment request.” I would get a call early January with the adjustment amount. The last time this happened I received an adjustment (read: credit) for $1,214.65 so I expect full or partial credit this time.
“Is there anything else I can help you with?”
“Well, yes. I also went over my texting plan this month. I’d like to bump up to the next texting plan, and, if I do, is it possible to forgive my overage charges for extra texts in December?”
Rham asked me to hold.
Unlike my minutes overages, Rham was able to immediately credit me $20-some dollars for my overage texts. (At $.10 a pop they add up slowly, but apparently I texted like a teenager in December!) And he pro-rated my new texting plan so I don’t have to worry about texting the rest of the month.
“Thank you for the excellent customer service you have provided me with today,” I told Rham before hanging up.
“You’re very welcome.”
I see the call as a win-win for AT&T and myself.
AT&T keeps a longtime customer happy (so much so that I’m blabbing about it to everyone) and they make more money off me to the tune of $30 extra a month. I save money (at $.45/minute extra paying up front is the cheaper route) and I am more loyal to them because of the consideration they showed me.
Proof dreams come true!
Related: My bra dream: proof I need to spend
This 2:20 minute video from SpendLessTV is pretty darn helpful if you are trying to get out of a cell phone contract. It suggests a few ways to do the deed that I’d never heard of. And it has practical advice that is easy to follow.
This is a guest post by Alex, BargainBabe.com’s intern.
The iPhone has become quite the celebrity and as a result it has alienated it’s closest, much cheaper cousin, the iPod Touch.
If you take an iPod Touch, buy a headset with a microphone, and download an application called Skype, you end up with something incredibly similar to the iPhone. But it’s a lot cheaper. You can make and take calls, and even set up an answering machine.
What’s the catch? The iPod Touch must be connected to the internet via Wifi in order to make phone calls. This isn’t always a downside. WiFi hotspots are becoming more and more common. There’s even an application that will locate Wifi hotspots near you.
Let’s do a quick cost comparison to see what the iPhone’s convenience costs compared to the iPod Touch.
Features by Comparison:
iPhone: Built-in microphone, built-in camera, AT&T phone service, access to satellite internet, Wifi optional, 8 GB hard drive, text messaging optional through AT&T, email and Safari web applications included.
iPod Touch: Headphone microphone, must use Wifi, Skype phone service, 8 GB hard drive, text messaging optional through Skype, email and Safari web applications included.
The iPhone is clearly more convenient, but to purchase one at a reasonable cost you must sign up for a 2-year AT&T contract and the monthly internet. Without signing up for a 2-year contract, a new iPhone will easily cost $400+.
On the other hand, Skype is free to try and doesn’t force you into contracts, plus they can’t nail you with overage charges. You can stop paying that $2.95 per month whenever you want and switch to a better deal if you find one. Still, with Skype you have to purchase a phone number if you want other people to be able to call you. That phone number will run you $30 per year when you purchase a year of service.
You’ll get a cheaper monthly cellular service if you share a family plan, and save even more if you limit your use of minutes. Click here for a list of AT&T plans, and here for Skype.
Maybe after all these comparisons it seems like the iPhone is not worth the money and the iTouch is not worth the hassle. I think there’s a lot of people who would agree with you, which is why I came up with a third option, buying a used and older model iPhone.
By purchasing used, you avoid getting pulled into a two-year wireless plan that comes with a new one, and by purchasing an older model (nicknamed the iPhone 2G) your wireless data plan costs $20 dollars a month instead of $30. You’re paying for a slower connection, but it’s still quite functioning when it comes to downloading email or reading the latest news on the go.
If you search eBay for iPhone 2G, you’ll see that $150 is about as cheap as the old iPhones are going for. It’s more expensive than a brand new one! There’s so many people who either don’t want to start a new 2-year contract, or they’re already in the middle of one from the “latest technology” they bought last year, that there’s a big demand for used iPhones with no contract.
Be on the lookout in the near future. Wifi networks are ever-expanding and there are a lot of rumors floating around the web on a new iTouch with a built-in microphone and camera. The iPod Touch Alternative might just become even more cost effective.
Sunday’s NY Times had a funny Op-Art piece that parodies the iPhone ads about which apps save you money (some are free, others cost $.99 to $30 to download). You may recall I gushed about these ads, which have been running on back page of the NY Times’ front section.
The Op-Art piece reads: “iPanic: helping you deal with the loss of your life savings, one app at a time.” A sampling of the “apps” including:
Never Mind: $3.99 “Choose a vacation from more than 1,000 popular destinations, dinner at a restaurant you’ve always wanted to try or a round of golf at any one of your favorite courses. Never Mind calculates the money you save by not going.”
4merly Hot: $14.99 “Tired of economizing alone? Upload a picture of yourself when you had money, then use your iPhone to meet other singles pretending they still have money, too.”
Fantasy Finance League: $9.99 “Field your own 401 (k). Make imaginary trades with stocks you used to own. FFL keeps score, compiles stats and automatically updates when you could have retired.”
2 Late Now: $7.99 “Create, edit and save spreadsheet files documenting all the things you wish you’d never bought.”
Scrape: $6.99 “By using your iPhone’s GPS, Scrape lists part-time jobs within a five-mile radius of your current location. Find the opportunity to match your experience and skills, from valet parking to wearing a taco costume.”
Hmmm…the message I’m getting is that even as we watch our life savings disappear, we continue to pay for luxuries like the iPhone (guilty as charged!) But in my defense, I only download free apps.
So maybe you don’t have an iPhone, but I bet you have some other secret spendy habit that you are loathe to reveal to other bargain hunters. Spill the beans!
The Go Frugal blog at FreeShipping.org has a post about the top five iPhone applications that will save you money.
I’ve been meaning to blog about Fring, one of the apps mentioned in this post, but the others I am new to. If you have an iPhone, check it out!
Thanks, Luke!
- food (though generally not at a restaurant unless you call ahead and make a special deal)
- travel arrangements through an agent
- clothes
- shoes
- electronics
- home goods
- services like hair cuts, massages, and spa treatments
- anything at a garage sale
- monthly contracts including your cell phone, cable/Internet, newspaper, magazine
- health care (especially if you can pay upfront in cash)
- oil changes and car maintenance (if you negotiate ahead of time)
What else have you negotiated a discount for that is not on this list? Leave a comment!
A recent story from CNNMoney has some great tips on how to reduce a number of household expenses, starting with your cell phone and credit card bill.
Compare your rates to other plans on BillShrink.com, which asks you a few questions about how many minutes you use, if you text and if you have a data plan. Then it spits out a list of similar plans, calculates the yearly savings and shows the signal strength at your home and work zip code. It found a slightly cheaper plan for me, but it does not include texts or data so I think what I have is actually cheaper.
For reduced medical care, the CNN story suggests checking out free Federal medical clinics for basics like immunizations, checkups, dental care and medicine. The Association of Medical Colleges might also be able to help if you are uninsured.
The article’s tips for cutting your car insurance tab were old hat – keep your credit score high because that’s what your rate is based on, ask for discounts based on your profession, and raise your deductible (if you have the savings to cover the difference!).
My sister points out a fabulous way to save money on cell phone service: get your family and friends on the same cell phone carrier and buy a family plan. The potential perks are many:
Some cell phone carriers do not charge you when you call someone on the same carrier. AT&T does this, for instance.
Other carriers let you call a certain number of people for free, like T-mobile, which lets you chose five “faves.”
But the best way to save is to have multiple phones on a family plan. Adding an additional line can be as little as $10 a month. Bump up the minutes if you need to and split the cost.
Remember to talk about how many minutes each person typically uses before you join forces. If you use your cell strictly for emergencies, you won’t be happy with a chatterbox on your plan. Everyone on the family plan does not have to live at the same address, but make sure your add-on friends will pay you.
One place to compare family plans is LetsTalk.com. They listed a Sprint Everything Messaging plan that has 3,000 minutes and unlimited texts. The plan is $150 for two lines. Additional lines are $10. Get four people on the plan and it’s $42 per person. Not bad for 750 minutes each. Thanks, Kate!
Is it me or are you getting more spam calls on your cell phone, too? So annoying!!! Luckily, Consumer Reports has tips on curbing these pesky calls – and spam text messages – that eat into your valuable minutes and message allotments.
You can also file a complaint with the FCC and register your number on the national Do-Not-Call list. And you can change your e-mail and/or messaging preferences in your account to block text messages from coming over the Internet, where most spam texts originates.
Being on the national Do-Not-Call list will not completely cut down on irritating calls, however. The list does not protect you from receiving calls from businesses you have given prior consent to or that you have an existing commercial relationship with. But it is a start.
