Is it better to pay off phone or upgrade?

Answered by Robert Dupre

When it comes to the question of whether it’s better to pay off your phone or upgrade, my answer would be: it’s better to pay off your phone. Here’s why.

1. Cost savings: Upgrading your phone often means signing up for a new contract or installment plan, which can result in additional monthly payments. By paying off your current phone, you can avoid these extra costs and save money in the long run.

2. Competitive cell phone plan deals: Once your phone is fully paid off, you have the flexibility to switch to a different cell phone plan that offers better rates or more features. This can result in significant savings on your monthly bill.

3. Avoiding unnecessary debt: Upgrading your phone often means taking on additional debt. If you’re already in a good financial position and don’t need the latest phone, it’s wise to avoid unnecessary debt and focus on paying off any existing debts instead.

4. Technology advancements: While it’s tempting to always have the latest and greatest phone, the truth is that smartphone technology has reached a point where incremental upgrades may not be worth the cost. The difference between the latest model and your current phone may not be significant enough to justify the expense.

5. Personal experience: I have personally chosen to pay off my phone instead of upgrading in the past, and it has saved me a considerable amount of money. I was able to switch to a more affordable cell phone plan and use the savings for other expenses or savings goals.

To summarize, paying off your phone instead of upgrading can save you money, allow you to take advantage of better cell phone plan deals, and help you avoid unnecessary debt. It’s a financial decision that can have long-term benefits and give you more control over your expenses.