With a prepaid plan, you purchase the minutes that you’ll be able to use with your phone in advance. There is no monthly contract to sign or anything like that to stress over. It’s strictly pay-as-you-go. Additionally, you only pay for those minutes you actually use up. Once the minutes for that particular month are gone, you can purchase more minutes through your phone company over the phone via credit card.
The prepaid option is great for people who may use their phones a lot in one month and hardly at all the next month. Prepaid plans are also very attractive to parents who are trying to limit the amount of time their teenagers spend on the phone. Another benefit to a prepaid plan is that you’ll never receive a nasty surprise in the mail and suddenly have a $600 phone bill to pay, which has happened to many users who pay on a monthly basis. You also won’t have to put down a deposit or anything of that nature.
Usually, the user pays for the phone up front, and the account is charged according to predetermined rules. It’s thus worthwhile to figure out how much you’ll be charged for each minute used, if the price will vary for long distance calls and 411 calls, and if any roaming charges might apply. Once you’ve deciphered those facts, you’re ready to go!