Does lock in contract make financial sense?

Spending2Much on 24/08/2016 - 21:25

I'm seriously considering the latest Optus 24 month contract for the S7, at $65 per month lock in, with 7gb data. Unlimited calls etc

I have a unidays discount code bringing it to $56.50 per month.

I've never had lock in contract, I've always been either pre pay or month to month post paid

I have been, for more or less 18 months now, spending $40 per month on phone account
At first with Amaysim 39.90 for 5gb, to Telstra freedom plus with bonus data, to Optus post paid and finally to Virgin 10gb data/unlimited calls/$40 per month

I noticed the data use has increased over time, possibly since 4g capability, with calls being the same(unlimited) as I hardly make phone calls.

Last year October I bought an LG G4, $450 off eBay special
It boot looped two days ago (still waiting on reply from seller)and tonight bought Moto G for $350
So, if that lasts a year, I've spent $800 on phones
Over 24 months that's $33 per month.
(If the LG G4 had lasted 24 months, it would still be $18.75 per month)
I've been spending $40 per month on a plan

The Optus deal costs (after discount) $56.50, per month for 2 years.

So even if the LG G4 had lasted long term, that's still $58.75 per month.

The 7gb is a drop back in data and locked in for 2 years, though the $10 for unmetered Netflix is interesting and I'll probably got for that too.(music in unmetered)

I've always been cautious of lock in contract, particularly as I've always bought phones outright.

In this instance, lock in seems to make financial sense……or does it??? Surely not???

Help me decide if I should sign up or not???

Poll Options

  • 1
    Lock in yes
  • 19
    Lock in no
Mobile

Comments

  • StewBalls on 24/08/2016 - 21:37
    +5

    Option 3: Sometimes, but rarely.

  • Findo on 24/08/2016 - 22:14

    It's not flexible enough if you lock yourself into a contract for 24 months. Better and greater things might appear. I have found it easier to buy a phone outright and use any month to month plan in the past and now I'm on the 10GB $36 Optus plan

    Edit: the fine print of the Netflix unlimited offer says it can't stream in HD, otherwise data gets counted. So not worth it.

  • Regie69 on 24/08/2016 - 23:27
    +1

    You may have spent 800 on phones but your G4 is under warranty. You should be able to get a refund. So therfore you would of only spent the money on the new phone.
    Btw is it kogan ebay deal? My G4 is with them at them moment. They offered me a samsung A8. which i declined. Now getting a full refund

    • Spending2Much on 24/08/2016 - 23:48
      +1

      QD-AU eBay
      Seems general info from reading other threads and comments on here is that anywhere from 6-8 weeks to 3months for any progress. A couple comments I've read on here have said the repaired phone failed again shortly after too.
      I would gladly accept a refund, but looks like I'm sending it back and wait for a repair.
      At the moment, there's been no contact reply at from the seller.
      I almost bought from Kogan, when the QD-AU eBay deal came in slightly cheaper just afterwards
      With an option of a refund, Kogan definitely takes the prize.
      I have a once awesome phone, now expensive dust collector, sitting on side board.

    • soupiejr on 25/08/2016 - 18:35

      Same here with me. I'm looking at getting a Nexus 6P to replace it, but wondering if I should wait a bit for a good deal to appear. Also, I'd prefer a 128GB one instead of 64GB, considering it has no microSD slots.

  • windwai on 24/08/2016 - 23:48

    Samsung Galaxy S7 Edge 32GB $59/Month + 3GB + UNLIMITED CALLS/SMS (24 Months) @ Woolworths Mobile is better, but it will be expried in 15 mins lol.

    Since you can get 6GB Telstra 4G for $35or 7GB Optus 4G for $33, you can just do your own maths.

    the $32 saving a month with out contract can only save you $768 over 24 months. If s7 cost more than that, it is worth it assuming the service cost remind the same on next 2 years.

    • Spending2Much on 26/08/2016 - 13:34

      Grey import, cheapest on here is a post today at $780.
      Around $1100 from optus/HN etc.
      Normal S7. Edge is more expensive, note 7 is more again.

  • [Deactivated] on 26/08/2016 - 10:11

    If its the edge version for 56 dollars a month sounds good.

    Im on 50 a month with no phone but the trade off for me is 11gb data.

    • Spending2Much on 26/08/2016 - 12:28

      Galaxy S7, not the edge version.
      With discounts an current offer, will be 56.50 per month. (7gb)

  • [Deactivated] on 26/08/2016 - 15:51

    Right now if you want to stay with optus it has to be the best deal for now.

    Everyone says there is always better but as always the grass is greener on the other side…. do you wait or so you do it?

    If you think you will be happy with the s7 non edge go for it.

    • Spending2Much on 26/08/2016 - 18:08

      Currently with Virgin on post paid month to month, 10gb/$40 plan

      • [Deactivated] on 26/08/2016 - 18:21

        Can you afford to to buy and handset like the s7 in one hit?

        What about an alternative which is cheaper?

        • Spending2Much on 26/08/2016 - 18:26

          I could…… But, $1080 outright from Optus/Telstra, $1145 from HN, or grey imports.

          $1356 total over 24 months based on $56.50 per month(after student and online store store discounts)

          This is where I can't get my head around the idea that lock in contract is not better…….????

        • windwai on 26/08/2016 - 20:37

          @albanyson:

          it is because:
          1) cheaper plan will appear in the future.
          2) locked in contract is not a good option if you dont like their service later and want to leave.
          3) Carrier Branded mobile phone has slower update.
          4) Most people happy with mid-range mobile e.g Redmi note 3 with cheap Aldi/Vaya plans. hence less than $700 total over 2 years.
          5) They dont give you an apple.

          In your case, just get it and potentially feel like a lemon later. But you should try to negotiate a plan with them 1st. Until than it will one less trouble in you life.

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