Money Saving Tips When You Need to Upgrade Your Smartphone

There comes a point when even the most frugal of consumers has to admit that it’s time to upgrade their smartphone. Given the high cost of modern smartphones, it’s worth exploring ways that you can save when you upgrade. For the cost-conscious shopper, try these tips to control the cost of your next smartphone.

Financing vs. Buying Your Phone Outright

It’s a conundrum everyone faces when it’s time to upgrade their smartphone. Does it make more sense to finance an upgrade or buy it outright? It depends on several factors, so get your calculator ready and let’s get to the bottom of it.

The sticker price of a new smartphone can be jaw-dropping, even more so if you’re buying a new-release flagship. Packaging the cost of your phone into your monthly phone plan payment can feel easier to manage, but it may not actually save you money.

There are three things to consider:

  • What’s the length of the term for paying down your phone?
  • How much extra will be added to your monthly phone bill?
  • Do your payments go down once the phone is paid off?

Add up the total cost of financing your phone and compare it to the cost of buying it outright before you make a decision. You should also clarify what happens when your phone is paid off, or you could wind up paying extra for no reason.

Buy a Used Smartphone

The quickest way to save money is to buy a used iPhone or Android phone. You can save hundreds of dollars on your next phone, and it’s the cheapest way to buy a phone outright.

There are a few things you may want to check before you pick up a used phone. First, make sure you get a chance to check out the condition before you buy it. Check for dents, scratches, etc., and make sure it turns on, of course.

If you buy an unlocked phone, you also get the advantage of greater flexibility in choosing a carrier. Locked phones are stuck with a single carrier, whereas you can use a SIM card from any company with an unlocked phone.

Sell Your Old Phone

Don’t forget about turning your old phone into cash. If it’s still functional and secure, you may be able to offset the cost of buying a new phone by selling your own. Once you’ve wiped your data from it, you can sell it online or explore your trade-in options.

Buy New Previous Generation Phones

While you can get high-quality, high-performance used smartphones, if you don’t want to have to worry about the condition, you can always buy a new previous-generation phone.

The cost of smartphones has grown considerably at the same time that they’ve plateaued in quality. As the addition of new technologies has slowed down, the need to upgrade to the latest and greatest model has declined dramatically.

More and more customers are opting for previous-generation smartphones at a lower price point, foregoing the rush to get the latest and greatest models.

Save money on your next smartphone! Make sure you compare financing vs. buying your phone outright and explore your options for previous-generation or used smartphones.