Mobile phone Guide

Golden rules for buying a new mobile phone

By Garnet Roach garnet@consumerchoices.co.uk

Whether you're after the latest smartphone or a basic handset, our five golden rules will help you find everything you need, at a price to suit your pocket.

Contract or pay-as-you-go

Mobile phone contracts offer great value, with inclusive minutes and texts - as well as a free handset and even mobile internet access thrown in as well. But to make a contract work for you, you need to be a regular mobile phone user and make sure that you're not paying for “freebies” that you won’t use. Many people choose a contract because it means they’ll get a “free” phone - spreading the cost of your handset over 12, 18 or even 24 months makes expensive phones like the iPhone or HTC handsets far more affordable.

On the other hand, if you're on a tight budget or are only an occasional mobile phone user, a pay-as-you-go tariff might better suit your needs. You can still get your hands on a cheap handset or even an affordable smartphone as a pay-as-you-go customer, and there are still some great freebies to be had when you top up.

Mobile phone features

It’s easy to get sucked into buying the latest flashy phone, so making a list of the features you want will help you find a handset to suit your needs.

• Camera - Mobile phone cameras have become ever-more sophisticated and you can now buy phones with a built-in 12 megapixel (mp) camera, along with video, flash, zoom and even editing capabilities. However, most phones now come with a built-in camera and you don’t need to go for a top-of-the-range handset to your hands on one.
• MP3 player - If you want to combine your mobile phone with your music, you can choose from a huge range of handsets with built-in MP3 players. Some also allow you to watch videos on big, shiny screens.
• Mobile internet access - Mobile internet allows you to go online wherever you are and many mobile phone contracts now include data allowances. Using the internet on your phone also means that you can check your emails on the go, with many handsets now offering push technology to automatically pick up your emails.
• Games and apps - While all but the most basic handsets now come with pre-loaded games, many phones also allow you to download new games of your choice. If you're an Android, Blackberry or iPhone user you'll also be able to choose from thousands of apps, covering everything from games to city guides, dictionaries and even Skype so that you can make free internet telephone calls from your mobile.
• GPS - If you're the type who’s perennially lost, then mobile GPS really could change your life. With maps that tell you where you are, where you're going, how to get there and even how long it will take, GPS means you'll never be lost again.

Understand your contract

If you're signing a mobile phone contract, it’s essential that you understand your contract before you sign. Do you have a 30 day rolling contract; a 12 month deal or a longer 18 or 24 month contract? Once your contract has expired you'll be able to renegotiate your deal, upgrade to the latest handset or switch to a new tariff.

You also need to be aware of any upfront costs - such as a payment towards your new handset, termination fees if you need to cancel before your contract is up, and the cost of any calls, texts or internet use outside of your monthly allowance.

Mobile phone insurance

Mobile phone insurance can be a great idea - especially if you're prone to losing or dropping phones - and some mobile phone providers won’t let you buy certain handsets - such as the iPhone - without taking out insurance at the same time, though you can cancel it later if you want.

However, at as much as £12 a month, mobile phone insurance can cost you around £145 a year. You can get cheaper insurance from independent insurers rather than your mobile phone provider, while some banks accounts or home insurance policies might also cover your phone.

Some people choose to put their cash into a high-interest savings account instead of buying insurance. That way you’ve got funds available if you do need to replace your phone, and if you don’t, then you’ve still got the cash.

However, you do need to be disciplined for this to work, and even a whole year’s savings - at £12 a month - wouldn’t be enough to replace the most expensive phones on the market.

Compare mobile phone deals

To make sure that you get the best mobile phone deals, compare handsets and contracts online. This will guarantee that you get the right kind of package to suit your needs - with all the minutes, texts and added extras that you want - as well as a mobile phone with a great set of features.

Check out our mobile phone news for up-to-date information and advice to help you choose the right phone and tariff.