Save Big with Cell Phone Upgrades

Most of us know how to get a free cell phone or a great cell phone deal: signing up with a new wireless account almost always does the trick. But that’s not the only way to get a great cell phone deal. Depending on your current plan, it may be possible to upgrade your cell phone and get a great deal without switching carriers.

A cell phone upgrade or contract extension is when you get a deal on a new cell phone when you sign a new contract or renew your term with your current wireless carrier.

Why a Cell Phone without Contract Extension is Costly

When you sign up for a brand-new wireless account, you'll often get the cell phone at a substantial discount. This is because the revenue from the long-term contract you just signed--usually for 24 months--will more than compensate for the loss incurred by the dealer when they give you a free or discounted cell phone.

But what if in the course of those 24 months you decide that you're tired of your old phone and you just have to have a new one? If you are not eligible for an upgrade, it doesn't make economic sense for a carrier or dealer to offer you a phone below cost: in this case, it's full-sticker-price time.

And full retail prices for new cell phones tend to take customers by surprise, since we are all used to the new-phone, new-account discount formula. For instance, a full featured smartphone without a discount can cost up to $1,000, which is the price of a semiprofessional digital camera or decent laptop. Or even the super-popular Motorola RAZR, if not part of new contract, can set you back around $300--definitely not chump change.

Cell Phone Upgrades: the Money-Saving Option

If, on the other hand, you are eligible for an upgrade with your current carrier, you may be able to get a cell phone deal comparable with buying a brand-new cell phone with a new account. That's because your carrier wants you to recommit for another 2 years, rather than switch carriers as soon as you are out of contract.

One of the things that seems counterintuitive is that even for an upgrade you have to meet some eligibility requirements, just like you do when you buy a cell phone with a brand-new wireless account.

Since you are essentially signing a new contract, your carrier will still want to see if the new contract will create a financial risk for them--by checking your credit and payment history--as well as make sure that the beginning of your new contract is not timed too far prior to the expiration of your old one. Eligibility requirements vary by carrier, so make sure you read them when placing your order for a cell phone upgrade.

To learn more about getting a cell phone deal through an upgrade or contract extension with your current wireless carrier, please visit Wirefly.com, where you'll find exclusive online deals not available anywhere else, as well as the Internet's most complete and easy to navigate wireless shopping experience.