We're paying $1 billion too much...

For many of us, shopping around for the best mobile phone deal is about as appealing as a visit to the dentist.

There are so many plans on the market, with myriad factors to consider such as call duration, when and where you make your calls, pre-paid versus capped plans and the cost of text messages. But when you consider that 60 per cent of mobile phone owners are paying 30 per cent more for their phone plans than they should (which works out to the equivalent of $1 billion a year), its worth doing the ground work.

People often see capped plans as a great way to save money, which is sometimes the case, however these savings only exist if you stay below the nominated limit on call charges. Tony Simmons, managing director of the Full Circle Group, telecommunication analyst and negotiator for business customers, says capped plans can be a far more expensive option than contract plans if you end up making lots of calls. Prepaid mobile cards are another option that can be quite expensive for mobile users with call charges being generally higher.

With so many variables it is important to find the best mobile plan that suits you by examining your previous phone bills and establishing your usage patterns.

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