Once you buy your favorite smartphone, the next step is to find the perfect carrier that fits your budget and has some exciting plans and unlimited data. A whole lot of service carriers are offering smartphones on a contract basis. A contract phone means you are committed to the carrier and you cannot move out till your contract expires.

With contract phones, you pay a one-time, monthly fee while the contract is on.

• Hidden charges:  Often advertisers try to put “too good to be true” messages that sound so nice to hear. But much more than the advertising, there are hidden charges somewhere.
• Customer service: Users with contract do get a good customer service as compared to the ones who are not on contract. Carriers want the customer to be happy so that they renew their contract again.
• Family plans:  Some carriers do have contract plans for families that are cheaper than prepaid or no-contract phones.
• Options:  While having a contract can be good, but it is always better to weigh your options. Ensure that the amount you are paying justifies your purpose of getting into the contract in the first place. Suppose, you are paying USD 200 for a contract and you don’t get proper coverage, then there’s no point in getting into the contract.
• Cancellation fees:  Carriers charge hefty amount as cancellation fees and moreover, if you travel a lot, then contract phones may not be a good idea as you cannot carry your phone overseas with you due to limited network and coverage.

There is no such thing as the best phone contract, as one plan does not fit all. When you get into a contract with your carrier, you are committed to that carrier for at least 12 to 24 months. One sure shot way to get the best phone contract is by experimenting with different networks and see which network gives you better coverage and value for money.