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Prepaid vs Postpaid Plan: Which is More Cost-effective?

Having to choose which type of plan you should get for your mobile phone may entail considering several factors. Depending on the needed calls’ preference and frequency, it is best to determine whether you would pick a prepaid or a postpaid plan based on each option’s cost-effectiveness. Thus, looking into the comparison between the options mentioned above could give you a glimpse of the ideal mobile plan for your needs.

What is the Prepaid Mobile Plan?

As the name suggests, a prepaid mobile plan is a type of payment system paid in advance before a user can gain mobile credit, which can then be used for calling or texting.  In pale comparison with the postpaid plan, a prepaid mobile plan can give more freedom in the number of calls and texts depending on the user’s needs. The fixed price range charged even before a user can have the credit is beneficial for those on a rigid budget and for those who only need a pay-per-usage type of arrangement. 

Subsequently, a prepaid mobile plan requires the users to secure a prepaid SIM card to allow the system to charge per promo. What makes a prepaid mobile plan more cost-effective is that it allows an upfront payment via online or in-store payments. On a prepaid plan, you get to choose from a variety of service promos. 

What is Postpaid Mobile Plan

A postpaid mobile plan is a type of payment system which is centered on the monthly charging. It allows users to choose a retroactive payment and charging after the credits are consumed. Generally, this type of mobile plan is ideal for those people whose work and field of engagements require constant texting and calling. It offers a bundled service that has better data capping and has better overall service allocation compared to those prepaid mobile plans. 

Moreover, the monthly allocation of texts and calls resets after each successful monthly billing, unlike a prepaid SIM card where you have to pay first before a credit is loaded into your SIM card.  People who want to maximize their payment through free data coverage, streaming perks will enjoy postpaid mobile plans. It is also amazing for those who want to track their monthly data caps and for those people who have most of their business transactions done through calls and texts. 

Which is Better: Prepaid or Postpaid Mobile Plan

Depending on your preference and the number of calls and texts that you need, you can decide which is better for your particular engagements. Intuitively, if you are a student or self-employed, it is more cost-effective and practical to resort to a prepaid mobile plan since it will give you enough freedom to choose the number of texts and calls that you will just need. On the contrary, if you are a businessman and a person who dwells in a type of work where constant calling and texting is required, it would be best to select a postpaid mobile plan.

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