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How to Reduce Monthly Phone Expenses by Using Prepaid Long Distance

With the proliferation of cell phones many people question whether the traditional home phone is really necessary any more.  Many households maintain a home phone even though they have a cell phone family plan where all members of the household have a cell phone and individual phone number.  For many, keeping a traditional home phone is a sensible option since it is cheaper than paying for cell phone air time for receiving calls, calling toll free numbers or making local calls.  It may also be necessary for emergencies (911 calls) or for alarm systems or other monitoring devices.  However, traditional long distance phone service is likely not necessary or even an economical option. 


In most cases using prepaid long distance is a far cheaper option than using traditional long distance from the phone company.  Prepaid long distance like that offered by Tel3Advantage is very convenient and costs nothing if it is not used.  So consumers only pay for calls they actually make at dirt cheap rates with no taxes or added fees.  Tel3 only charges 1.9 cents per minute for long distance calls made to North American (USA and Canada) destinations.  This means that a consumer can use more than 500 minutes for a mere $10.  Rates are slightly higher for international calls depending on the location called but they are up to 95% cheaper than phone company rates.  It is also easy to open an account and there is nothing to change, it can be used from any phone or with any existing phone service.  An account can be opened in a couple of minutes by visiting the Tel3Advantage website or calling 800 441 0321.

How to Reduce Long Distance Expense

Traditional home phone service may be an unnecessary expensive for people or families who also have cell phones. For many, keeping a traditional home phone is a sensible option since it is cheaper than paying for cell phone air time for receiving calls, calling toll free numbers or making local calls. Also, it may be necessary to have a landline for emergencies (911 calls) or for alarm systems or other monitoring devices. However, most people can significantly reduce expenses with no loss in service by replacing traditional long distance phone service with a prepaid plan.

In most cases using prepaid long distance is a far cheaper option than using traditional long distance from the phone company. Prepaid long distance like that offered by Tel3Advantage is very convenient and costs nothing if it is not used. Consumers save money because they only pay for calls they actually make and these are charged at dirt cheap rates with no taxes or added fees. Tel3Advantage only charges 1.9 cents per minute for long distance calls made to North American (USA and Canada) destinations. This means that a consumer can use more than 500 minutes for a mere $10. Rates are slightly higher for international calls depending on the location called but they are up to 95% cheaper than phone company rates. It is also easy to open an account and there is nothing to change, prepaid long distance can be used from any phone or with any existing phone service. The same prepaid plan also travels so users can make cheap long distance calls from hotels or business phones when they are away from home. An account can be opened by visiting the Tel3Advantage website or calling 800 441 0321.

Phone Card Fees - Connection Fees

Most people understand that they use phone cards by dialing an access number which by-passes their high cost carrier in order to make low cost domestic or international long distance calls. Phone card users also know that they will usually pay a higher rate than the per-minute rate advertised because of so called hidden fees and taxes. What a lot of people don’t realize is that these hidden fees vary significantly between phone card suppliers, can take on different forms and, in some cases, they can be hard to spot when making a purchase and be just plain “tricky”. We don’t like these marketing practices and feel that hidden fees should be fully disclosed by phone card marketer’s in an understandable manner so a consumer will truely understand what it will cost to make a call. Therefore, we try to uncover and explain these “tricks” when we find them so consumers can spot them when making a purchase. A case in point is a “connection fee”.

 

As the name implies, a connection fee is a fee charged when a call is connected. Most phone card companies do not charge a connection fee these days but we found one major marketer (PennyTalk) that still charges a connection fee. When using these cards a caller will be charged a per-minute rate plus a connection fee for each call. PennyTalk advertises that international calls cost as little as 2 cents per minute but they also charge a $0.49 connection fee for each call and a 99 cent monthly service charge for each account. The connection fee may not sound very high but consider the following. If a 25 minute call is made from the USA to Germany the cost will be 50 cents (2 cents per minute) plus a 49 cent connection fee so the total cost will be 99 cents or almost 4 cents per minute. This is not cheap for a call from the USA to Germany these days. The same call made with a high quality phone card will cost between 1.5 and 2.5 cents per-minute and Tel3Advantage (prepaid long distance) only charges 1.5 to 3 cents per minute. So, in this case, the advertised 2 cent per-minute rate is one-half the actual charge and is deceptive. To be fair, PennyTalk includes a toll free access number at no additional charge but the other providers have a wide network of local access numbers that are also free.

 

Another problem with a connection fee is that it is charged for each call connected. It is fairly common for international calls to be disconnected during a long conversation and the connection fee will be charged everytime the number is redialed and connected. It will also be charged if the wrong number is dialed and connected or if the party being called is not available and the phone is answered. In other words, a seemingly small connection fee can add significant cost to the calls actually completed with a prepaid calling product. For this reason, we suggest consumers should not purchase a prepaid calling product that charges a connection fee.  Visit Prepaid Calling Blog to learn about phone card hidden fees and other tricks.



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