New York Times recently questioned why prepaid phones haven’t caught on with the American public. Prepaid phones, phones that you pay full in price and then pay a lower monthly rate, is in fact cheaper than contracted phones. Compared to contracted phones, purchasing a prepaid phone saves you hundreds of dollars in the long run. Take the iPhone. Under a two-year contract with AT&T, an iPhone costs $200, with a $90 a month payment plan. Over the course of two years, the $90 will surmount to at least $2,360, meaning that you overall pay at least $2,360 to use an iPhone for two years. Oppose this with a prepaid phone plan. Under a prepaid plan on Virgin Mobile, purchasing an iPhone costs $650, with a $30 a month payment plan. Sum this up and you will be spending about $1,370 to use an iPhone for two years, as opposed to the $2,360 spent on a two-year contract. If using a prepaid phone saves hundreds of dollars, then why aren’t more people using them? According to New York Times, there are a variety of answers.

Factors such as subsidized prices, marketing, and the handset itself contribute to why prepaid phones are not as favored as contracted phones.

One of the main reasons why prepaid phones plans are not as competitive as contracted phones plans are the subsidized prices of the phones offered on contracted plans. Contracted phone plans subsidize the price of the handset offering phones at $100 or $200 as opposed to $500 or $600. Consumers are attracted to this subsidized phone price, they would rather pay a small amount upfront and overspend, as opposed to the opposite. Consumers don’t do the math and only think in the short run, and for this reason, prepaid phones are not as popular.

Besides offering a subsidized phone price, contracted phone plans are marketed more heavily than prepaid plans. Most phone companies deliberately do not market their prepaid phone plans because it does not make as much revenue per user as compared to contracted phone plans. Phone companies want users on contracts in order to maximize their revenue, thus prepaid phone plans are not marketed. Smaller phone carriers that only offer prepaid phone plans do not have nearly as large of a marketing budget as carriers like AT&T or Verizon do, so their phone plans are simply not known.

Lastly, until recently, prepaid phone plans do not typically offer cell phones that are as advanced as contracted plans. Consumers want the latest and greatest phones, and since prepaid phone plans have not been able to offer that until recently, consumers have not been impressed with prepaid phone plans.

Although only 23 percent of American wireless customers are on prepaid phone plans, the New York Times predicts that more and more users will start to use them. With users constantly trying to reduce costs and prepaid phone plans offering more advanced phones, the New York Times believes that prepaid phone plans might finally catch on, with a predicted 29 percent of users using it by the year 2016.

Offering customers the latest in technology, design, and innovation, AT&T has outdone themselves with their latest addition, the HTC One X.With a new processor, screen, audio system, camera, and operating system, the HTC One X is HTC’s new leading phone, taking on other great competing phones.

Designed to keep productivity high, the HTC One X is equipped with a Snapdragon 1.5GHZ dual-core processor. This ground-breaking processor makes the HTC One X one of the fastest phones available on the market, passing speed tests at 6Mbps down and 1.2 Mbps up.With this processor, a user can multi-task at ease and complete tasks as quickly as possible. Along with an incredible processor, the HTC One X runs on the Android 4.0 Operating System. This new operating system is aesthetically pleasing, easier to use, simpler to multi-task on, making the HTC One X a great phone to perform multiple tasks on.

Externally, the HTC One X offers users great audio-visuals that satisfies all needs. Visually, the HTC One X is superb. Displaying images on a 4.7” HD widescreen with a Super LCD 2 panel, the HTC One X provides users quality images, making watching tv shows and movies much more enjoyable and accessible on their phones. Unlike any other HTC phone, the HTC One X has a built-in Beats Audio system, delivering rich, quality sound that enhances a user’s overall audio experience. To top it all off, the HTC One X comes with a 8MP camera with a f/2.0 28 mm lens and dual LED flash. With this camera, you can take quality pictures at a rapid pace, without the effort of carrying a bulky point-and-shoot camera.

Internally and externally, the HTC One X is an outstanding phone, providing users with the greatest technology and most visually pleasing look. Under AT&T’s two year contract, this incredible phone is offered at the price of $199.00, which, in retrospect, is a great deal when looking at what this phone has to offer.

Phone cards not only help to make quick phone calls with the least amount of dialing but are also a good way to save you money.

Brief History of Phone Cards

A manufacturer of vending machines first invented the phone cards in 1975. The evolution continued with the invention of pre-paid cards, pre-paid cards with magnetic strips, inductive technology, smart cards, Internet cards, disposable cards, cards with pinless dialing, Smartphone application, etc.

Today’s cards include various new features such as pinless dial, speed dial, Internet dial, or combination of pinless and speed dial, etc.

Features of the phone cards

Pin-Free Dial: The evolution of memory in phones and other devices has almost made man completely dependent on his electronic device for anything and everything he has to remember. Since people are not used to having to memorize or remember things it becomes tough for them to remember and reenter the pin number when using a calling card for long distance calls. With a pin-free dial feature, you just have to register five numbers you want easily and quickly online. This enables the system to recognize your account without the use of the card itself and lets you to make the call.

Rechargeable Phone Cards: Many companies make it possible for you to recharge your phone cards through your online account.

Speed Dial: This allows you to store a maximum of ten International numbers, which you often use, and to retrieve the numbers along with a combination of a two-digit number. All you have to do is to dial an access the number, understand your balance amount, and simply dial the speed dial code for that particular number.

Smartphone Apps: These are online cell phone card applications that are prepaid to enable a direct International call from your Smartphone without any access or PIN numbers.

Internet Dialing: These phone cards are set up for placing calls with the use of free software on your computer with a broadband connection instead of a landline or mobile. Making long distance calls on the Internet keeps your phone free and also saves you the time and expense of your mobile calls. Even the quality of the calls is extremely good if your connectivity is good. The great advantage is that you can call from anywhere in the world as long as you have good Internet access.

Tips on Choosing Phone Cards

Online calling cards with the lowest rates are quite popular among many and there are hundreds of companies that offer many different varieties of phone cards. Before buying, be sure you understand the features, charges, as well as any hidden charges. There are companies that have tax, termination fees, connection and disconnection fees, etc. Be clear on all the seen and unseen charges that are provided on the price lists.

Summary

However, the fees and your expense depend on your requirements such as how frequently you will be using your card, which destinations you call frequently , etc. Just make sure your phone cards have access to wherever you travel and that you have free calls to the local numbers.

Author Bio:

Maria Elena, is Content Marketing Editor with Pingo.  Pingo is a prepaid calling service that offers great rates on international and domestic long distance calls along with unbeatable quality, simplicity and convenience.  Pingo offers 100% call quality and money back guarantee to ensure a risk free service that you can rely on.  Pingo works great with your Smartphone with the Pingo EZ Dial app that brings your contact’s phone number right at your finger tips  while also saving you money and rewarding you for trying it!

The smart consumer will go with Virgin Mobile’s plan. For $30 a month you get unlimited texting, data, and 300 minutes of calling a month. This is quite the amazing deal, and they also have $40 and $50 plans for more calling, giving you 1,200 minutes and unlimited minutes, respectively.

So how much will you save over two years? You will save about $1,300 compared to other carriers.

CNN Money did the math and found that Virgin’s charges will be $1,370 over two years while Cricket Wireless’ prepaid plan comes out to $1,720 and the big boys like AT&T and Verizon average out to $2,775 over that same time frame.

This is a power play by Apple as well to cement their lead in the market. By reaching those who don’t want to be tied down by contracts or don’t have the credit to sign up for the two-year contracts offered by the major carriers. The number of people using contract-free plans is growing, while those on contract plans has plateaued, which may be a signal to the market that consumers are getting smarter about their phone plans.

You are the smart consumer because you understand the value of contract-free plans. This is a groundbreaking announcement. Get ready for the change.

Moving its network into 3G technology, Sprint PCS, was one of the first large U.S. cellular carriers to do so.

You can enjoy 3G coverage nationwide on the Virgin mobile prepaid and Boost mobile prepaid networks, with reliable service and monthly savings.

Sprint’s plans are to release LTE (Long Term Evolution) devices on its prepaid Boost mobile and Virgin mobile networks.

The market for prepaid plans has increased and is made up of customers from all demographics and has become more refined. Sprint prepaid plans are in demand because customers are demanding more advanced and sophisticated prepaid mobile plans.

Sprint is one of the leading cell phone companies that offers competitive prepaid phones to their current and new customer base.

Sprint prepaid phones and prepaid plans are mostly geared toward the younger generation. Sprint has generated 3 new and competitive prepaid pricing plans. The Beyond Talk plan is the plan provided by Virgin Mobile, which was acquired by Sprint in the year 2009. The prepaid plan offers unlimited messaging, web download, email messaging and data.

The full price for Sprint prepaid plans must be paid in advance before activation. There are more than 60 million users of Sprint prepaid phone plans.

The device works automatically with no configuring, and you can make phone calls instantly and have huge savings right away.

Overtime, Sprint has improved their CDMA2000 network and handsets.

Sprint PCS also features a Sprint mobile virtual network operator that provides prepaid voice and 3G data services on the Sprint Nationwide Network.

Sprint’s personal communication service proposes an extraordinary variety of multimedia choices that feature streaming video and audio that’s accessible through Sprint Vision plans.

Virgin Mobile, originated in the UK, but has opened up in the United States recently. With its coverage being nationwide, is a good option for the social networking generation.

Boost Mobile, targeted to the younger generation but can cater to all audiences, originated in Australia and was introduced to the United States recently as well. It is also a good option on the Sprint prepaid network for every connected generation.

UC Cellular services 29 states in total, and has a network of over 6.2 million subscribers. Due to the roaming charges that apply for those traveling out of the Midwest region, the network is not a good choice for those who frequently travel internationally or to other regions. Locals, however, will enjoy the unlimited calling plan and free mobile-to-mobile with other US Cellular users.

There are a variety of pay-as-you-go plans to choose from with US Cellular including ones that allow the user to pay for roaming ahead of time. Incoming calls and messages are always free which is another nice perk for those who chose US Cellular prepaid plans. For more budget conscious, or limited cell phone users in the Midwest area, US Cellular prepaid plan is a logical choice in networks and can provide great savings.

AT&T GoPhone users get the same advantages of regulars on the AT&T network. They aren’t subjected to roaming fees, and the customer service receives high rating and reviews. No matter what you mobile needs are, AT&T Prepaid is likely to have a service that works for you. They offer plans ranging from flat rate daily pricing (dollar daily unlimited), to minutes plans ($25 for 250 minutes). Almost all plans have unlimited messaging. There is zero activation fee for the AT&T Go Phone, but there can be penalties for those that do not use their minutes before they expire.

Users can choose from over 100 phones that will operate with the AT&T’s prepaid plan. Many are refurbished models that offer lower pricing than those bought brand-new. Despite that fact, AT&Ts prepaid model is still more costly than most others. But with a variety of plans to chose from, as well as the backing of AT&T, the premium price can be worth it for those that want a prepaid plan for a major cell network.

Net10 is not going to work with your i-Phone, but it does have a variety of appealing options from Motorola and LG. Their classic rate is $.10 a minute (hence the Net10 name). They have recently expanded with additional plans that let you get unlimited talk for 30 days, or unlimited web/email usage. They also have options for international plans and text messaging (depending on the phone).

Overall, Net10 is a no-thrills network that offers great value and convenience. Prepaid talk time can be purchased online, by phone or on the phone itself. Their PayGo card lets you actually rollover unused minutes, which means savvy users can save even more. Overall, users that don’t do much mobile browsing or gaming, and want to be freed from the restriction of a contract, will find Net10 ideal for meeting their needs.

Alltel’s service model differs from many other prepaid mobile plans. Alltel does have a contract and activation fee. Users trade the flexibility of other plans for plenty of no charge for additional services, (i.e. more messaging options, games, and ringtones, unlimited mobile-to-mobile calls). For $69.99 you can get 500 anytime minutes with no restrictions on time of day. The Smart Choice 500 plan offers users the ability to select ten numbers they will never be charged extra for (regardless of network of time).

Alltel is a great choice for businesses that want to provide their employees with a work-friendly comprehensive mobile device, but want to limit their usage and minutes. Others should be wary of going over allotted minutes (the penalties are high), but will like the freedom of AllTel’s calling and messaging. If you are savvy about managing your phone use and remaining monthly minutes, and need a phone that can handle your work and email needs, Alltel is a great choice.

T-Mobile’s plans all include unlimited talk, but the network speed does vary based on price.  If you want to take advantage of their 100MB 4G speeds you will pay more of a premium than if you stick with a lower level data plan.  You also get more of a break with T-Mobile if you opt to pay for larger amounts of minutes upfront.

T-Mobile prepaid phone prices range from free (very basic) to close to a hundred dollars (if you opt for a flashier phone like the Samsung Gravity).  All phones offer options for international calling and texting, and they never have roaming charges.  With the right choices for plans and features, T-Mobile is a pay as you go plan that makes sense for a user that wants to pay only as they determine need.