Frugal Cell Phone Plans That Actually Save Money

Updated: April 27, 2020

I cut my cell phone bill by 88%, and chances are, you clicked on this article because you want to save on your cell phone bill too. Well, you’re in the right place!

In our situation, my wife and I were paying over $250 per month for our cell phone plan. But after searching high and low for the most frugal cell phone plans, we shaved that bill down to $15 per month for each phone!

You probably don’t pay over $250 per month, but you can save some big bucks just like we did.

So, how did we do it? Four words… Mobile Virtual Network Operators (MVNOs).

The sad thing is, I spent years paying an arm and a leg for cell phone service before I ever heard about MVNOs. And if you haven’t heard of MVNOs either, you’re about to be glad you did!

With the right MVNO, you can get the same cell phone service on a frugal budget! But what are these MVNOs? How do they work, and which one is right for you?

That’s what I want to spend the next few minutes talking to you about…

So, What’s an MVNO Anyway?

A Mobile Virtual Network Operator is a wireless service reseller.

This is how it works–the big carriers (Sprint, T-Mobile, Verizon, and AT&T) own big, expensive, wireless network infrastructures. And those networks have a lot of capacity… a lot more than their customers could use…

So, to make some money off that extra network capacity, the big carriers sell it to MVNOs at wholesale prices, and the MVNO resells the cell phone service to you for dirt-cheap!

Makes sense, right? It’s win-win-win all around!

So, in case you were wondering, MVNO’s provide a legit service. And you can get the same cell phone service and coverage that you’d get from the big wireless carriers we all know and love…

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Ok…MVNOs Have Frugal Cell Phone Plans, But What About…

The Service

In a study, Tutela found that MVNO customers see slower cell speeds than customers of a big service provider, even though they use the same networks. But not all MVNOs are created equal…

For example, MVNOs that use Sprint’s or T-Mobile’s network aren’t that much slower than the host network’s customers.

On the other hand, MVNOs that use AT&T and Verizon’s networks were noticeably slower than the host network’s customers.

Deprioritization is another issue you can have with MVNOs. This is when your speed is reduced because there’s a lot of internet traffic. When this happens, MVNO customers may be throttled first because we’re not customers of the network’s owner.

Personally, though, I’ve never experienced deprioritization with my MVNO (Mint Mobile). In fact, my Mint Mobile service is better than what I had when I was with Sprint. (Although to be fair to Sprint, it might have something to do with network coverage in my area.)

Your Phone number

You can keep your same cell phone number when you switch over to an MVNO… or you can get a new phone number. It’s up to you!

International calling

Some MVNO’s offer international calling and others don’t.

My wife’s entire family is out of the country, so international calling was an enormous factor for us. In fact, it’s one reason our old cell phone bill was over $250 per month.

If you need to make voice calls and texts to other countries, choose the right MVNO for you. Some don’t offer international calls at all, others offer free phone calls and texts to certain countries.

Data limits?

It depends on the MVNO and the plans they offer. But very few wireless resellers offer an unlimited data plan.

And even if they offer unlimited, they’re not going to let you use huge amounts of data without pumping the brakes on your download speeds.

It makes sense that most wouldn’t even offer “unlimited data” because they’re renting limited space on someone else’s network.

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Unlimited calling and texting?

Most MVNOs offer unlimited calling and texting. And the different plans they offer are mainly about how much data you can use. But there are some companies that charge you for minutes and messages.

Do I need to sign a contract?

With most MVNOs, you prepay for the phone service, or you pay for the services you use during the billing period. (Which is why most phone plans are so frugal.)

But generally, they operate without contracts. Of course, I can’t speak for every MVNO…there are way too many to know what they’re all doing!

How to Switch Over?

Before you can sign up with an MVNO, make sure you’ve:

Unlocked your cell phone

If you’re going to bring your own cell phone, it has to be unlocked before you sign up with the MVNO.

An unlocked cell phone is one that can work on any wireless network. A locked phone is one that’s tied to a specific phone carrier. If you’re still paying off your phone, then it’s pretty much a guarantee that your phone carrier has locked your phone to work only on their network.

This means paying off your cell phone first and getting it unlocked. Personally, I got a nasty shock when I wanted to switch over to Mint Mobile and realized I had to pay over $800 to pay off the lease and buy our cell phones.

Know how much data you’ll need

Most MVNO’s don’t offer an unlimited data plan, so you must know (or guess) how much data you’ll need before you sign up.

You can probably get by with less data than you think. Especially since there’s Wi-Fi available in most places you’ll be. (Just make sure you really are connected to Wi-Fi before you start listening to music on YouTube!)

Make sure you’re not under contract

Before you can move over to an MVNO, you’ll have to end your contract with your current carrier.

Check your coverage area

As you know, different MVNOs are on different networks. So make sure you check out the coverage maps for your area to see which network is best for you.

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How Many Companies Are Out There?

Now that you know exactly what MVNOs are and how they work, just one question remains…

Which MVNO is best for you?

There are way too many out there to go through them all here. (You can check out the full list of MVNOs on Wikipedia.) But we’ve picked a few popular MVNO’s that you might want to look at.

1) Mint Mobile

Mint Mobile is the carrier we’re currently with. It saves us hundreds of dollars per month and could save you big bucks as well.

Every cell phone plan Mint Mobile offers comes with a free new SIM card, includes unlimited talk, text, and offers 4G LTE high-speed data. The key difference between their different wireless plans is the amount of data you’re getting.

Mint Mobile is best known for its $15 per month plan, but that’s the introductory offer. To continue paying $15 per month, you’ll eventually have to pay for 12 months upfront.

But once you pay, you won’t have to worry about your cell phone bill for an entire year! Imagine the relief…

Check out Mint Mobile here.

Upsides

• $5 starter kit to lets you try the service before you commit
• Free calls and text to Mexico and Canada
• Great rates for calls to other countries
• Free SIM card
• Unlimited talk and text on all plans
• Options to add extra data if you run out
• Mint Mobile offers international roaming if you need to travel overseas
• Good customer service

 Downsides

• No monthly payment option
• Your remaining data doesn’t roll over if you don’t use it all

2) Republic Wireless

Republic Wireless is another MVNO that fits the frugal lifestyle.

It runs on the Sprint network and T-Mobile network. But as a Republic Wireless customer, you’ll only be on one of those networks, depending on where you live.

Republic Wireless also offers unlimited talk and text for $15 per month, but you’ll have to pay an additional $5 for each GB of 4G LTE data that you want. You’ll also get a SIM card from Republic Wireless when you sign up, but it’ll cost you $5 as well.

Republic Wireless also offers nationwide coverage and flexible cell phone plans.

You can also bring your old phone over to Republic Wireless. But keep in mind that iPhones aren’t compatible with Republic Wireless.

Check out Republic Wireless here.

Upsides

• Cheap cell phone plans with no contracts
• Republic Wireless credits your account if you don’t use all your data
• 14-day money-back guarantee
• 2 months free if you pay one year in advance

Downsides

• Republic Wireless doesn’t accept iPhones.
• No international calling other than Canada and U.S. territories.
• You have to buy the SIM card
• Their complaint system can take a long time time to complete.

3) Ting

Ting is another popular MVNO that offers cheap cell phone plans for those that are looking to save money.

Like Republic Wireless, Ting runs on the Sprint network and T-Mobile network. But unlike Republic Wireless, Ting doesn’t offer phone plans.

Just use the data and minutes that you need and pay for what you use at the end of your billing cycle. If you use less, you pay less (and vice versa).

You can also add multiple lines to your account, so this cell service is great for couples and families.

Check out, Ting.

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Upside

• International calling and international roaming with no extra cost to more than 60 countries.
• Families can add extra lines to their Ting account for only $6 per line and share minutes, text and data
• Pay only for what you use per month
• Affordable price, the average bill with Ting is around $23 per month
• No contracts, no cancellation fees

Downsides

• May not be a good option for heavy data users; some customers experience dropped calls or dead zones
• Heavy data users will end up paying more.
• Some users mentioned that the tool that allows you to customize your usage settings does not work very well. Users say that the tool was sometimes turned on by mistake, which caused them to have extra charges.

4) Twigby

The big thing about Twigby is that their cell phone plans are flexible.

They offer 3-10 GB data plans with unlimited talk and text. Or if you prefer, you can create your own plan and buy the minutes and data you need. And if you need more data, you can always upgrade your plan in the middle of the billing period.

Twigby relies on the Sprint network for data, talk, and text. But if you’re ever outside of the Sprint network, you can use the Verizon network for talk and text.

Upside

• You can create a customized phone plan and upgrade when you need to
• You can bring your own compatible cell phone.
• They offer Family plans and you can calculate how much you will save.
• You can have up to 10 lines with one account
• Monthly plans include international calling to 15 countries.

Downside

• Their customer support is only available through chat
• They don’t offer an unlimited data plan
• Some poor network coverage (Sprint areas)
• Not many new phone options to choose from

5) Tello

Another great option to cut your cell phone bill is Tello.

Tello operates under Sprint’s network and offers domestic and international calls with no contract required.

You can customize your plan based on your needs. From no data all the way to unlimited 4G LTE data, and no minutes all the way to unlimited minutes. And almost every plan includes unlimited text.

Tello also includes international calling, and the minutes you buy can be used to make calls within the U.S., to Mexico, Canada, and China.

For calls to other countries, you’ll need to pay an additional fee.

Upside

• They have customizable service plans.
• Cheap cell phone plan with no contracts, and no termination fees. You are free to leave whenever you want.
• You can bring your own unlocked phone.
• There’s an unlimited plan available for data
• Compatible with androids and iPhone
• Family plan available
• International calling

Downside

• The prices do not include taxes
• Big fluctuation in data speed depending on location.
• No roaming or service outside the U.S or abroad

6) Cricket Wireless

Cricket Wireless is a prepaid cell phone service that operates under the AT&T network.

It’s not the cheapest out there, but reviewers consider the wireless service reliable.

Their cell phone plans start at $30 per month for 2 GB of 4G LTE data with unlimited talk and text. At the high end, Cricket Wireless plans include mobile hotspot, unlimited talk, and text with unlimited 4G LTE data for $60 per month.

And of course… no contracts.

Upsides

• No contract is required
• You can bring your old phone (both iPhones and Android phones are compatible) or buy a new phone from Cricket Wireless.
• International calling and texting available, with free calls to Mexico and Canada
• Family plan available

Downsides

• Data speeds can be slow.
• Family plans are not as frugal as other carriers

7) Straight Talk

You might have seen Straight Talk at Walmart…and only at Walmart.

This is because Walmart is Straight Talk’s exclusive retailer. But you can also sign up for their service online at straighttalk.com

Straight Talk comes with the standard MVNO offerings, like no contracts, monthly prepaid plans, no credit checks…

But their big selling point is that they have access to all four of the big wireless networks (Sprint, T-Mobile, AT&T, and Verizon’s).

Just to be clear, you won’t get access to all four networks. The network you get access to depends on your location.

Straight Talk offers unlimited talk, text, and the best coverage possible with all of their plans. The major difference between Straight Talk’s plans are the data limits and international calling.

Upside

• Unlimited talk and text comes with every plan
• Coverage on all four major networks
• Wide selection of new and used cell phones
• They offer a family plan so you could save even more

Downside

• Their customer service could be better
• Not the cheapest MVNO. Plans run between $30 and $60 per month

8) Xfinity Mobile

Xfinity Mobile was launched a few years ago by Comcast and it operates on Verizon’s network.

If you want to sign up for Xfinity Mobile, you first need to be one of Comcast’s internet customers.

Their prices will add anywhere from $12 to $45 per month to your monthly bill, depending on how much talk, text, and data you need.

Upsides

• Fast data speeds
• Save money and be more frugal by combining your internet and cell phone bills.
• No contracts
• No activation fees
• Free access to 19 million WiFi hotspots in their service area

Downsides

• You must be a Comcast customer to be eligible
• Only a limited selection of Android phones can be brought to Xfinity Mobile.
• Xfinity’s customer service could be better. There is a long waiting time to solve many issues.
• There are several fees (installation fee, reactivation fee, equipment fee, late payment fee, early termination, etc.)

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9) U.S. Mobile

US Mobile is a prepaid phone service that offers customizable phone plans and operates under the T-Mobile network and Verizon network.

Their flexible plan builder lets you pay for how many minutes, texts, and data you want.

And they also have an unlimited plan that offers you unlimited everything for only $40 per month!

There are no contracts and you can get a SIM card starter kit if you just want to try it out without committing.

Upside

• US Mobile offers unlimited talk and text with unlimited data for $40 per month
• There is a 14-day risk-free trial
• They have customizable plans
• You can bring your own cell phone
• International roaming in 140 countries
• You can recharge your plan if you need more talk, text or data

Downsides

• Their plans don’t include free talk and text.
• Their new phone selection is limited
• No discount on family plans
• No international calling

10) FreedomPop

FreedomPop is an MVNO and the king of cheap cell phone plans. Why are they the king? Because they’re the only company to offer a free plan. Yes, that’s right… a totally free plan.

The catch? You can only have a free plan for a year. And their terms are confusing and difficult to understand.

Their free plan includes 500 text messages, 200 minutes, and up to 500MB of 4G LTE data per month. If you need more minutes and data, they offer paid plans that start at 2 GB of data.

With FreedomPop you can bring your iPhone or Android phone, or you can buy one of the refurbished phones they sell. They also run on Sprint’s and AT&T’s networks.

Upsides

• Free and frugal plans available.
• Flexibility to create the service plan you need

Downsides

• Free plan only lasts 12 months. After that, you have to start paying between $13 and $35 per month.
• Once you use all your data, the extra data you buy can be expensive.
• The information they provide on their website can be confusing and unclear.
• They have an activation fee that costs $20 and a transfer fee of $10.

11) Consumer Cellular

Consumer Cellular focuses its frugal phone plans on seniors, but it’s available for all ages.

They run on the AT&T network and T-Mobile network. The network you end up on depends on where you live.

One difference between Consumer Cellular and most MVNO’s is that Consumer Cellular doesn’t have a prepaid service plan. Instead, you pay your monthly bill at the end of your billing period.

Their talk plans are $15 per month for 250 minutes or $20 per month for unlimited minutes. Text and data are bundled together and will cost you anywhere from $5 per month for 500MB up to $40 per month for 25GB.

And with an AARP card, you can enjoy a 5% discount on your phone plan.

Upsides

• 30-day money-back guarantee if you are not happy with their service (terms apply)
• Good customer service
• Discount program for AARP members
• International calling available (additional fees may apply)
• Flexibility to downgrade your plan or add more to it depending on what you need.

Downsides

• No unlimited plan available
• Expensive data plans
• No coverage when traveling internationally

Final Thoughts

With all the MVNO’s in the market today, there’s no reason to pay an arm and a leg for your cell phone plan.

Whether you’re looking for a cell phone plan that includes unlimited talk and text, good customer service, or just the cheapest data plan out there. You can find an MVNO that offers it.

Like I mentioned before, there are far too many MVNOs to mention here, but I hope that this list gives you some idea of what’s out there.

If you’re looking to save money and have a more frugal life, consider switching over to an MVNO, and start saving on your monthly bill.

 Cheers!

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