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What Is a 'Pay as You Go' Cell Phone Plan?

Pay as you go cell phone plans are a type of phone plan that has many features that are different from regular cell phone plans.

One of the biggest differences is that with a pay as you go cell phone plan, there are no monthly fees or necessity to sign a contract to get the plan. Neither is a credit card needed to acquire the plan. The plan works with the phone user buying a phone card from establishments that sell these cards. The phone cards basically represent “money” or credit that you give the mobile phone carrier to maintain your cell phone account. For example, you just need to buy a credit worth $50 to keep your account active for a set number of days. The plan is not unlimited in that each minute is billed against the credit that you have bought. Usually, the per-minute cost of the call in a pay as you go plan is higher than the regular cell phone plan rates. Additionally, mobile phone carriers don’t offer additional perks for the said plan.

To get a pay as you go cell phone plan you have to buy a cell phone that has been specifically identified for use with this type of plan. Also, you need to get a phone made for the specific mobile phone carrier you want to use. You will also have to buy a phone card to put credit on your account. Although there is also an option to use your credit card to put credit on your new phone.

Upon buying the phone, all you need to do is call the number the carrier listed on the manual. Usually the process will involve a customer representative asking for the phone’s serial number before she gives you your cell number.

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