iPhone X: How to get the best mobile deal for Apple's new phone
As Apple launches the £1,000 phone, here’s how to navigate the crazy world of mobile costs
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Your support makes all the difference.It's a busy day for Apple. The tech giant launches three different iPhone models today, including, according to leaks, a flagship iPhone X, set to come in at a cool £1,000. Rumours abound over quite what the latest must have device will offer.
But while there will be die-hards who have camped out in front of the central London store simply to be able to slap hands with Apple staff while clutching the iconic white box, it turns out the rest of us are falling out of love with the handset race as a direct result of the eye-watering costs.
Latest iPhone X and iPhone 8 news live – follow all the updates here.
In fact, Dixons Carphone – which trades as Carphone Warehouse and CurrysPCWorld – issued a profit warning last month, blamed in no small part, according to chief executive Seb James, on people keeping their handsets longer.
Now coming in at an average of 29 months compared with the traditional 24, consumers are simply less willing to tie themselves up in expensive new contracts just to get the latest handset. However, while sticking with a handset longer might be a good way to save money, sticking with a phone contract can do the opposite.
Less for loyalty
If you stick with your current deal after the fixed period has ended you could be paying far more than necessary.
Peter Earl, head of utilities at comparethemarket.com, said: “As a rule, customers are quite clued up when it comes to their mobile phone package. However, what many aren’t aware of is that they are at risk of overpaying once their contract comes to an end, as many will continue to pay a set price which originally included the handset, which at this point will be paid off.
“As many customers continue on their existing deal until they choose to upgrade their phone, and providers do not clearly communicate the expiry date to customers, this can often result in customers unnecessarily overpaying. Currently, regulation does not bind companies to drop handset charges post-contract and this can result in customers paying more than they need to.”
Once you’re free of a fixed-term deal, it isn’t always necessary to upgrade your handset. However, you might decide to sell it to raise some cash towards your next contract.
Vix Leyton, home communications specialist at www.Broadbandchoices.co.uk, explained: “One way to unlock the best deals is to consider recycling your current handset. The iPhone 7 256GB is currently selling for the average price of £445 on Sellmymobile.com. If you are waiting for a new handset to catch your eye then consider switching to a SIM-only deal for the interim.
“When you are out of contract, your network should unlock your handset for free, meaning you won’t be restricted to staying with your current provider.”
Compare your real usage
It’s important to know how much data you typically use, and how many minutes or texts, when looking for the best price. If you take on a contract that does not have enough you will pay a higher price for additional use. If you take on a contract that provides too much you risk over-paying.
Fortunately, you can easily find out how much you typically get through. Natasha Rachel Smith, consumer affairs editor for TopCashback.co.uk, said: “Ask your provider for your monthly usage of texts, calls and data so you don’t overpay for a contract that is beyond your needs.
“Then research which providers are offering the best deals for the handset you want with the limits you need and match it against what your current provider can offer you.”
Comparing deals is the most obvious way to find the right price and there are several websites that can make that easier. However, Leyton urged people comparing deals to check for limitations hidden away in the contract.
“Working out what you need can save a huge amount of money; if you are a big data user, make sure unlimited means unlimited, and check the small print as usage outside your allowance might pile on the pounds. For lighter users, only opt for what you need," she explained.
“The key thing is to read your monthly bills so you know what you need! Then use a price comparison site like Broadbandchoices.co.uk to compare packages side by side to ensure you are building exactly what you need and not paying for things that you don’t.”
It is also worth looking at whether you can get something back in exchange for your purchase.
Smith added: “Once you’ve found the contract and provider you want, it’s worth looking for sales, discounts and cashback offers to get an additional saving. For example, TopCashback.co.uk is currently offering up to £75 cashback on contracts with Carphone Warehouse and up to £90 with O2, which can really help with keeping costs down.”
Cheapest isn’t necessarily best
Finally, it’s not a good idea to simply seek out the cheapest deal if it does not actually meet your needs. Earl said: “The cheapest mobile phone tariffs are not necessarily the best, as people may find that they have limited usage and as a result costs go through the roof if they go over. People should be thinking about where they will use the phone the most, whether that be at home or work, and check the service availability of all the providers in that area.
“Two years is a long time to be stuck with a service if you can’t really use it due to a bad signal! For those on pay monthly contracts, one of the biggest pitfalls of choosing the wrong deal is that if you decide to cancel your contract early, you will probably end up having to pay an early termination fee.
“Typically, this early exit fee will mean having to pay off the remainder of the contract in a lump sum.”
However, if you are locked into a deal that has turned out to be pricier or less suitable than you expected because it doesn’t fit your usage, there are steps you can take such as buying data add-ons rather than incurring penalty fees.
It may even be possible to get a better deal. Leyton concluded: “Many network providers are open to discussing the situation. Providers want customers to be happy with the contracts, therefore more likely to stay and bring repeat business, so don’t be afraid to ask or negotiate mid-term.”
Click here for all the latest news on the iPhone X. And follow the latest news on Apple’s big announcement here.
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