
I got my first cell phone when I was 16 years old.
Back then – more than a decade ago – cell phones were just that: phones. My first device was a silver flip phone on a pay-as-you-go plan. I used it for two things: calling and texting (using a T9 keyboard. Yeah. It was old school).
The phone had a web browser but I never used it because of the price associated with it. I can’t remember exactly how much it cost, but I do know there were many times where an accidental click would result in frantic efforts to close the browser before it could load.
I loved that little phone so freaking much and used it right until I went to university.
The logic behind getting a phone on a contract was that it would be good for me to have a bill in my name. At least, that’s what I told myself. In reality, I really just wanted a Blackberry Pearl (in pink, because duh).
This marked my first foray into the world of smartphones. After reaching the end of its life, I traded in the Pearl for a Blackberry Curve. And when my trusty Curve bit the dust, I jumped over to the iPhone. I’ve had an iPhone ever since.
Until now.
In November, I finished paying off my iPhone 6s.
In December, I upgraded my phone – to an Android device on a new contract.
It probably seems counterproductive – this is supposed to be a blog about paying off debt, not adding more, right? – but I promise I had good reasons for making the switch (and a good reason for why I don’t consider my new phone as part of my debt total).
My love affair with Apple products
The decision to ditch my iPhone wasn’t an easy one. I’ll just come out and say it: I love Apple products. A lot.
Along with the iPhone, I have an iPod and a MacBook Pro. Both devices are circa 2010 – and almost a decade later, they still work well.
My iPod, a purple Nano complete with an old school click wheel and the original charging port, doesn’t hold a charge the way it used to but I still use it all the time.
And my MacBook? I upgraded it to High Sierra recently and while it is slower than it was when I took it out of the box almost 10 years ago, I feel confident it will get me through until I have the ability to upgrade it in a few years.
That’s why I love Apple products. With the exception of upgrading my phones (which has been more about wanting to upgrade than needing to), I’ve only ever replaced headphones, an iPod (my original one was stolen at a grocery store I worked at), and a laptop charger (cat chewed the original). With the right care, these products last.
But when it came time to decide whether or not I wanted to upgrade my iPhone, I hesitated.
The X Factor (or, you want me to pay HOW much for that phone?)
It should come as no surprise that, when it came to considering an upgrade for my phone, cost was a deciding factor for me. I just could not find a way to make sense of owning a phone that costs more than what I paid for my laptop.
I considered my options in light of that information. My iPhone was paid off and I debated just sticking with it. The phone is in fairly good shape – a couple hairline cracks on the screen, but nothing too wild – and while the battery life has left something to be desired recently, there are steps you can take to compensate for that. That was the route I was going to take.
Then the sale happened.
Jeff spotted it. Around Black Friday, Telus had a deal where I could get the phone I had been considering as an option for $0 on a two year plan. On it’s on, that would just be OK but the real deal came in the plan – this would give me four additional gigs of data…for the same amount I currently pay for two gigs.
Needless to say, I jumped at the opportunity.
A couple weeks later, my new phone – the stunning Huawei p20 – arrived.
Why upgrading my paid-off phone made sense for me
You’re likely wondering: why in the world would I get a new phone, with a new contract, when the old one is already paid in full?
That’s a fair question. There are a few ways I can answer that.
Paying off my phone did not lower my phone bill
I don’t know if this is an Atlantic Canada thing or not, but when I paid off my iPhone, my overall bill stayed the same. It did not go down when my device balance was paid off.
Once I finished paying off the device balance, I looked into an option with my cell phone provider under bring your own device to see if I could knock the price down. The difference for the plan I currently had was maybe $5. Not really a big difference maker, in my opinion.
I know there are some places where if you pay off a phone, your bill goes way down. That’s not the case with my provider (and, as far as I know, any of the other options available here).
Upgrading my phone added more benefits to my plan – for the same price
The key here is the price did not change. My plan is the same price today as it was in November – but I’m getting a lot more for my dollar. Six gigs of data is amazing (especially when you’re coming from having a grand total of two gigs). I won’t use it all – but it will help me avoid overages, which is a huge bonus for me.
Upgrading my phone gives me more options for my old phone
Right now, my plan is to use my iPhone as a media device, postponing the purchase of a new iPod. That said, I might want to look into selling it someday. If I go that route, I’ll make more money if I can keep it in decent shape.
Honestly, I just…wanted to upgrade
My best friend got a Huawei p20 Pro in the summer and she loves it. I have other friends who have the p20 and they have had nothing but good things to say about it. The camera, in particular, has attracted a lot of praise and for good reason: it is amazing. I’m excited to finally be using it.
The $800ish Question: Will I pay it off early?
Nope. I’m not even considering it.
There are some who consider their cell phone as part of their debt load. I don’t, primarily because paying it off doesn’t impact the price I pay every month.
There is a case to be made for this regarding damage – if I broke my phone before I finished paying it off. If I was a person who struggled with this, I would consider paying it off sooner as opposed to later, but that has not been the case for me traditionally. I have never had to pay out a phone due to damage; I always take careful steps to protect my electronics, so I don’t anticipate this being a problem.
Final Thoughts
It’s been a few weeks since I started my new life as an Android user and I really have been enjoying it. My new phone is incredible – I’ve hardly begun to tape into its potential and I’m excited to keep using it!
What phone are you using? Do you consider you phone part of your debt total?
I don’t consider our cell phone plans as part of our debt load. Every time our phones come up to the end of their 2 year contract, I do a look around to the other providers and determine if it is worth switching. Right now we have a semi-decent couples sharing plan and when we signed up for smart phones, they had a double data and minutes promo which we continue to have even after yet another phone upgrade.
In recent months, I have noticed some better couples sharing plans on other providers, so in a year from now, we might consider a switch. Porting phone numbers is easy as pie these days. “Back in the day”, switching providers meant switching numbers which was a pain….and providers knew it!
I can totally see why some folks like to pay off their phone balance right away, but honestly, to me, it’s a service. I think it might be different if it made a big difference as far as the cost of my plan goes, but at the end of the day, it really doesn’t (at least, not in Atlantic Canada).
I have noticed lately a big change in data plans — more data for the same price I’ve been paying for years. I’m about a year into my new phone contract now, but I’m certainly keeping an eye on those things with the idea that, if the right deal came along, I might be inspired to leave the company I’m currently with. We’ll see!