Bad Credit Phones: Factors to Consider

If you have a poor credit rating and you need a phone contract, this is when deals such as bad credit mobile phones come handy. Unlike regular phone contracts, bad credit phones do not require mobile users to have a good credit score. Even if your credit score is less than stellar, you know you can get approved for a deal provided that you meet the eligibility criteria. If you’re ready to choose your bad credit phone, here are factors to take into consideration:

Credit Rating

Bad credit phones as the name would tell you are for mobile users with poor credit ratings. If you’ve been struggling to avail a phone contract from major providers because of your credit scores, bad credit phones are great and convenient alternatives worth checking. Providers don’t run credit checks on mobile users, which means faster processing and approval for your application.

Handset choice

Like with traditional pay-monthly deals, you need to choose your handset. Since you have bad credit, your choice may not be as vast and varied as if you have a good credit score. In most cases, you’ll have an array of mid-range phones to choose from. You may not get your hands on the latest high-end handset yet but the available choices aren’t that bad either. Click here for more help when choosing your handset.

Bundle Plan

Aside from your handset, you’ll also have to choose a bundle plan. A typical bundle plan includes allowances for your call, text and data needs. To ensure that your plan is in sync with your needs, you must take your time to estimate your monthly usage. Will you be calling a lot or texting is sufficient? Will you be using your mobile phone for a lot of data browsing? These are a few questions to ask when choosing a bundle plan.

Contract Term

Bad credit phones come in 12, 24 and 36 months terms. The most common option for majority of mobile users is the 24-month term. This means you are required to pay a monthly fee for 24 months covering the cost of your handset and bundle plan. Choose your term according to what you can afford and what is comfortable for you. If you stick with a mid-range phone and keep your bundle plan modest, you’re on the right path.

Monthly Cost

Finally, you need to consider your plan’s monthly cost. When you apply for a bad credit phone, you’ll get a handset and bundle plan as part of the packaged. This also means that you have a fixed monthly fee to pay whether you like it or not. Delay or missed payments will only lead to penalties or worse, disconnection. When choosing your bad credit phone, consider the monthly cost and make sure your monthly income can handle said cost comfortably. If you can pay your fees on time each month, it might even help improve your credit rating in the end.