Avoid a large and unnecessary debt on your child’s phone plan

CHILDREN as young as six are being given their first phone, creating another household expense — but it doesn’t have to cost you plenty. Here’s how to get on a plan as low as $9 a month.

MOBILE phones have become a necessity for most Aussie adults and now their children are dialling into the action.

Telecommunication specialists say the average age for children getting their first phone is 11 or 12 — and some are as young as six — increasing the financial strain on parents who pay up to $70 a month for each child.

However, there are much cheaper options available.

Kristy Calabria said her daughter Amber 15, was given her first phone at age eight, mainly “for security and peace of mind”.

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“My daughter walks home from school and I want us to be able to contact each other at all times,” she said.

Ms Calabria said the cost of mobile phone contracts was a concern.

“For me a prepaid plan is much better value for money and a lot less hassle than a contract,” she said.

Kirsty Calabria, with her daughter Amber, 15, says the cost of phone plans is a worry. Picture: Dylan Coker

amaysim mobile commercial director Maik Retzlaff said “plenty of deals are emerging” and paying just $10 a month was possible.

“I recommend staying as flexible as possible and starting with a no lock-in contract at the lower end of the price spectrum,” he said.

Hand-me-down phones can be a good option for budget-conscious parents, and Mr Retzlaff said money should not be spent on bells and whistles that children didn’t need.

“The key for kids is that they have a device with good basic functionalities such as call, text, camera and internet,” he said.

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“Phone contracts have the potential to be a minefield. You can be stung by unnecessary and hidden costs such as plan change fees, early termination fees, credit card fees, international calls and even unlocking your phone.

“amaysim’s $10 Unlimited 1GB mobile plan gives you unlimited talk and text and some internet data to play with.”

Moose Mobile CEO Dean Lwin said “$9 to $14 a month is really all you should pay”.

“Monitor their usage and set limits on what you expect from them,” he said.

Mr Lwin said there were many cheap phone plans advertised online but parents should get an idea of other peoples’ experiences with a telecommunications provider before signing up themselves.

“Read the reviews so you know what you are getting into,” he said.

“Some cheap companies don’t have customer service.”

@keanemoney

Originally published as Avoid a large and unnecessary debt on your child’s phone plan