Pros and Cons of Bad Credit Mobile Phones

A walk down the memory lane and it’s almost impossible to comprehend how people survived without mobile phones in the past. Owning a mobile phone in this time and age is mandatory and this explains why approximately 93% of UK residents own a mobile phone. A mobile phone has morphed from the days it was primarily used for making calls and sending text messages to doing virtually anything you can think of. In modern times, you can use a mobile phone to lock and unlock your car, seek for directions, as a video recorder, as a camera, as a calendar, for browsing online and so on and so forth.

In light of all the above, it perhaps is understandable the frustration a person feels whenever he/she is declined a mobile phone contract. From applying for loans to applying for mobile phone contracts, credit score checking has become the standard practice. People with a poor credit rating are discriminated upon whenever they are applying for a mobile phone contract. They have to contend with rejections every now and then and this has in essence created a rift of sorts between providers and people with a less than perfect credit score.

Phone Contract Pros

Applying for a mobile phone contract has become a game of chance for individuals that have bad credit. However, with the proliferation of bad credit mobile phones providers across the UK, there is light at the end of the tunnel. As we speak, applying and getting approved for a mobile phone contract even with bad credit is no longer a long shot. There are a number of providers across the UK that now offer guaranteed mobile phone contracts.

The upside to this kind of contracts is that you no longer have to worry day and night on whether you will get approved when you apply for a contract. Conversely, considering the fact that there are many providers across the UK that offers these kinds of contracts, you can make comparisons and get yourself a great deal. Bad credit mobile phones contracts are also specifically tailor-made for people with bad credit and this therefore has given a new lease of life to this group of people.

Another great benefit is that with a small deposit paid up front, a person is able to negotiate for themselves a better deal than what is traditionally offered to people with a poor credit rating. On the flipside however, there are a number of disadvantages that come with this kind of mobile phone contracts. For starters, bad credit mobile phone contracts are generally costly as compared to the traditional mobile phone contracts.

The argument given by providers is that people with a poor credit rating are looked at as high risk hence the justification of the high rates. Secondly, the perks or benefits are relatively fewer compared to the traditional mobile phone contracts. Thirdly, if you have bad credit and you apply for this kind of contract, you are forced to commit to a long term contract with the provider. Irrespective of the disadvantages, there is no denying that bad credit mobile phone contracts have indeed made people who initially felt like outcasts get a new lease of life.