Two Year Contracts

As much as packages are attractive, I never like to sign long contracts because I like to have my freedom to be able to change packages whenever I find it necessary (without having to pay a beautiful fine for this ).

So, no long contracts for me. I pass.

 

I never enter into a package when buying a phone or having a cable or internet connection. There is an offer here for phone subscription that would give me a free phone if I would sign a 2-year contract. That’s the standard here. However, as per my rough computation, the amount I would pay for the subscription of 2 years would definitely include the cost of the phone. And if I would get a regular subscription and buy my own phone, I would save almost $200 by not getting that package. But in fairness to those packages, you don’t have to pay in cash since the installments are for 2 years that is lumped with your subscription payment.

 

It's similar to my one year contract with mobile broadband service provider. I paid a lump sum amount at first and now I can have my data recharged with more than 70% discount on data charges. But in reality now I am at a loss as the same company is offering data at somewhat 80-90% discount. As I have already paid for one year contract I don't stand to gain in this. Their competitor is offering data almost free of cost.

So I think we should always think twice before entering into long term contract with companies. They would offer something only after keeping in mind their long term benefits.

 

Yes, it's quite the same here.
If you subscribe for a longer duration, the expenses will be less and vice-versa. I have got a substantial discount on my internet package in this way. Before zeroing upon a plan, I look at the benefits so that it does not require a change in between. This saves a good amount of money which otherwise costs more.

 

I have been to it in my phone subscription. I have two options for 2-year locked in contract. Either I may pay or require to have cash out or no cash out involved. It is a common practice here any network like Globe, Smart, Sun, among others. If you are through with 2-year lock in contract, the network will give you a loyalty reward. That is you are entitled for a cell phone but you will enter another 2-year contract.

 

I buy a 3 month package which gives me a good discount and free add ons plus cashback! I used to buy monthly packages but they became costly. Three months is a reasonable period in case I want to switch to something else.

 

Two years seem to be the standard for most cellphone subscriptions here. For more expensive phone models, it can stretch to 30 months. If you're using the cellphone frequently and making the most of the subscription, that would be fine because you'll be spending the same amount anyway even if you don't avail of the subscription. I'm not a big cellphone user so it doesn't work for me. I'd rather buy my own cellphone and load up. What I'm quite happy about is my telephone and internet bundle which is a steal. The lock in period is also competitive - one year. As internet is getting cheaper by the day, that leaves me open to jump ship anytime after that period.

 

Anything more than one year is pretty shady to me, and this is coming from someone who would say that a contract in general is pretty shady, although I realize that sometimes they are unavoidable. Just make sure you read the fine print.

 

If I get a reliable service operators I would prefer a long contract, a two years, so long the charges are within my comfortable limits. I like an upfront payment injternet, phone or TV. This may help save some money on the long run and give time to focus on other areas that need my attention especially business.

 

Most phone pay monthly contracts over here in the UK will be for two years but a couple of them offer deals where you can change halfway through if a new phone comes out and you want that. There are some additional charges though I think. I don't mind having a phone contract for 2 years to be honest, it isn't too long and having a new phone every 2 years is quite nice. Our internet has a 2 year contract as well I think but we have the right to switch over to a competitor at any time if we are not happy.

 

With most phone and internet subscription plans then that is quite common, although our cable provider does not require you to have a 2-year contract when you subscribe to them, you can terminate your subscription anytime.