Phone Contract Options for People with Bad Credit

If you have a poor credit score, it’s not only your personal loans that will be affected. Even your mobile phone contract application may be refused or rejected because of bad credit. Fortunately, there are alternatives to traditional phone contracts major carriers offer in the UK. Here are some options suitable for mobile users with bad credit you can check out:

Sim-only deals

Unlike a typical phone contract, Sim-only deals offer only the Sim card and no handset. This means that the monthly fee for such deals is significantly more affordable. Then there’s also the fact that Sim-only deals will not tie you up with a long contract like phone contracts do. In fact, there are Sim-only deals with only a one-month contract. You can easily get out of the deal and switch to a different plan without worrying about extra fees or charges added to your bill. To know more about Sim-only deals, go here.

Pay As You Go (PAYG)

Pay As You Go or PAYG is another type of phone deal more suitable for people with bad credit. With PAYG, there’s no contract involved and no monthly fees to worry about. Like its name suggests, you basically pay as you go for credits you use. If you want to make a call, send a text message or use your mobile for online browsing, you’ll need to top-up your phone with credit. You’ll have more control of your phone bill in a way because you decide when and how much to top-up.

To enjoy PAYG, you’ll have to buy a phone upfront though. If you’re eyeing to own the latest high-end handset, for instance, then you’ll have to be willing to spend money. Otherwise, you can always opt for a more affordable but still functional mid-range handset.

Bad credit phone deals

In case Sim-only and PAYG deals wouldn’t do, there’s another option you can check out. Bad credit phones work just like any standard phone contract deal. You can choose a handset with your call, text and data tariff plan. Like with any phone contract, you’ll be paying a monthly fee for 12, 24 or 36 months depending on which contract length you prefer. The only downside is the more expensive fees than if you have a good credit score. On the upside, you don’t have to worry about your credit score when you’re applying for a bad credit phone seeing that this type of deals are offered specifically for mobile users like you.