Jul 5

A Social Bug’s Guide to Purchasing a Cellphone in the US

Posted on Monday, July 5, 2010 in College Life, Guides

Alrighty. I’m not an expert in purchasing a cellphone in the States, but I put up this guide so that you could benefit a thing or two from other people’s experience and advice. This guide was put together with the help of Jeanine Yuki, Amanda Apau, Valerie Oon, and Kelvin Chiong. =) Also, I’ve done some of my own research into the matter. Please read through carefully, and deliberate cautiously before you purchase a cellphone.

I know that if you google for a cellphone buying guide, you’ll have millions of results at your fingertip. And I know that you’ll end up lamenting how you wish there was a simpler, concise guide on how to choose a cellphone plan. Which is why this is here. =)

Right. Let’s get cracking!

Step 1 – Plan what you want.

Let’s not worry about the number of cellphone companies yet. There’s plenty of service plans out there for you. You gotta know what you want, first. Here are the things to take into consideration:

Coverage: Does it cover your area? If you’re studying in the States, check out the university website, scroll down until you see the address of the university. Copy and save the zip code somewhere for easy retrieval. You’ll need it later. =) Also, if you’re planning to travel frequently to certain places, you’ll need to know if the company covers those areas as well. Otherwise, you’ll be charged for roaming. That, my friend, will hurt your pockets.
Area of Usage: Where will you call? Most of the top cellphone companies offer national plans, which is good – for you. It means a flat rate to any number in the States. Some companies might charge you extra for calls outside the city, or even the region (i.e West Coast, East Coast, MidWest, etc.). So, go for a national plan. You’d want to have a roadtrip, sometime in the future, so it’s best to just prepare for it.
Frequency of Usage: Most of the plans offered use the term “Minutes”. As a student, and a social bug, you’re probably within the medium-high range. The low usage would mean you only use your cellphone for emergencies. If you belong in that range, then it’s better to purchase a prepaid phone. =) the prepaid phones aren’t exactly pretty. Malaysia’s phones are nicer, actually. Anyway, those with medium usage would mean that you would normally use 100-500 minutes per month. This would normally cost you between $20-30. High Usage means that you require at least 500minutes per month. We’ll talk about this much later, as this requires a small section of its own.
Technology: Okay, this is not about your cellphone technology. This is about your service provider’s tech. There are several technologies involved, and I’ll just tell you the more popular ones. CDMA, GSM and iDEN. CDMA means that it’s programed to use that particular service provider’s service only, but it has better coverage. GSM is the technology that most Malaysians are used to – SIM cards. GSM is the better choice in this. iDEN is used by Nextel, and nothing much known about it (I didn’t look into it much, since most of us would prefer GSM anyway).
Contracts: Most providers have a two-year contract for the service that they provide. Also, they provide free phones, only if you sign up for these contracts. Several things to keep in mind, if you’re going for a free phone, are: how many times can you change your plan package? will they charge an extra fee if you wanna upgrade or downsize your package? By the way, with contracts, it basically means you’re a postpaid user, so you would have to pay the bill every month.

Step 2 – Introducing the Providers and their Offers

Right. So now, I can let you roam free. Not really anyway.

Here are the providers, listed from top-ranking to bottom-ranking. =) It’s from Top 10 Reviews.

Verizon Wireless [ Official Website | Review ]
AT&T [ Official Website | Review ]
Sprint [ Official Website | Review ]
T-Mobile [ Official Website | Review ]
Boost Mobile [ Official Website | Review ]
Cricket [ Official Website | Review ]
Virgin Mobile [ Official Website | Review ]
US Cellular [ Official Website | Review ]
MetroPCS [ Official Website | Review ]
TracFone [ Official Website | Review ]

Before you go a-clicking away, here’s why I included the Review links. Each provider has their own unique set of pros and cons. Go through those, first, and if you have time to kill, just read the whole review. While preparing, I was initially lured by some of the company’s ads.

Step 3 – Let’s get clicking!

Right. Just open those in new tabs. Remember earlier on I asked you save your university’s zip code? You’re going to need it now.

Check your coverage. Just look around the website, and you’ll see something about “network/cellphone coverage.” If the provider doesn’t cover you, time to cross it off your list.
On to the Plans/Phone. Personally, I went for the Phones first to see if there are any nice phones, and if they’re free. =) So, check it out. But, read on for more info on the plans!

Step 3.1 – KNOW YOURSELF!

This is important. You have to know certain things about your phone usage.

Where will you use it?
- Local – the definition depends on your provider, but basically, local means the size of a metropolitan. You will be charged roaming or long distance charges if you travel.
- Regional – this basically means a region consisted of 5 states. Charged for roaming, outside the region.
- National – anywhere in the country, so, it’s a flat rate.
How often will you use it?
- Minimal Usage – under 20minutes per month. If you belong to this category, please consider getting a good prepaid service. =)
- Medium Usage – 100-500 minutes per month. For those who want to use their phones regularly, but not extensively.
- High Usage – above 500 minutes per month. You simply just have to talk, talk and talk to your friends at almost every time of the day.

Step 3.2 -Why do I need to know all these stuff anyway?

Good question. The answer involves money. Lots of it. Enough to make you dread getting a phone, thanks to all the major decisions you have to make about your usage. At least now, you know how much your parents dread getting you a phone. Haha.

Regarding minutes: When choosing the right minute plan, it is good to remember that if you exceed the minutes, you will be charged a heftier sum rather than going for a plan with extra minutes than you guesstimated. Voicemail = airtime too. You are charged, by the minute, for all the extra calls you make exceeding your minute plan. Also, most calls are rounded to the highest minute. So, 15-second call = 1 minute. Yeah, you may think that your phone would have a feature that’ll show how much time you spent on the call, but this only displays your total time by seconds. Therefore, it doesn’t show an accurate amount of time that you use to call. Busy signal, no answer, etc. = still charged.

Here’s a formula to help you:

Guesstimate the length of time you spend on an average phone call.
Multiply that by the number of calls that you make and receive in one month.
Add another 50 minutes.

Regarding contracts: Now, if you’ve visited some of the official websites, you’ll know that you’d like to get your hands on those free phones. Wait a minute. It’s free only if you sign a 2-year contract with them. What’s so bad about that anyway? you ask. Right. Here’s what’s not good about it. If you change your mind, i.e, terminate your contract before the 2 years are up, you’ll have to pay at least $150.00. That’s your ETF (Early Termination Fee).

Other fees: Taxes. Yeah, in the US you get taxed for using your phone. One of the perks of Malaysia, I guess, is that we don’t get taxed, and it’s just so much simpler getting a phone and service.

Alright. Now that you’re pretty much well-informed, you can look around for a new phone. In the meantime, I’ll just buy a phone here and get a SIM card there. I think. If you look around, you’ll see how ugly most of their phones are. We have more choices here in Malaysia, and that’s another cookie for Malaysia. =) cheers!