7 ways to slash your mobile phone bill

If you're paying over the odds for your mobile - take action today! Here are seven ways to slash your costs.

My mobile phone bill is rather like a nasty, invasive weed. I get it under control, turn my back for a moment... and suddenly the costs shoot up again and start running riot.

If your mobile bill could do with a big dose of weed killer, read on. I'm going to outline seven ways you can slash your costs today.

1. Change your plan

Are you nearing the end of your contract? If so, you're in a very strong position to negotiate a better deal with your existing provider.

Hunt down the best deal on the market and ask your provider to beat it. If it doesn't, threaten to leave. The chances are you'll be swiftly referred to someone whose sole purpose is to retain your business. Then haggle like mad!

If you do decide to jump ship, make sure you get your Porting Authorisation Code (PAC), so you can port your mobile phone number to your new provider as soon as possible.

And think about which sort of payment structure best suits your call habits. Simply put, you could choose...

• A contract with inclusive calls and minutes (generally better for heavy users);
• A pay-as-you-go (PAYG) deal. Slash Your Mobile Costs By 74%, will help you decide whether PAYG is the right choice for you.
• A SIM-only deal. You can find out all about these by reading this article.

2. Make your existing plan work for you

If you're tied into your existing contract for several more months, don't despair. Certain providers (like Orange) will allow you to downgrade to a cheaper tariff during your contract period.

And it's also worth scrutinising your bills to make sure you're getting the most out of those free minutes and texts.

When I checked, I found I'd been regularly exceeding my free minute allocation, but hardly ever texting. I now - rather unsociably - text rather than call whenever possible!

3. Free talk on the internet

If you've got broadband, you can use Skype software to phone over the internet for free. In a nutshell, Skype users can call each other for nothing, and connect to 'normal' phones for a small charge.

For a clearer understanding of all the technological nitty-gritty, read Make Free Calls Through Your Computer.

And there's some great news for mobile users: last week, Nokia announced it would be including Skype in its new phones.

This means customers will soon be able to sidestep the charges levied by the mobile phone networks, and make free internet calls from their mobiles instead. Hurrah!

4. Directory enquiries

Can't lay your hands on the number you need? Through sheer laziness, I used to call Directory Enquiry numbers straight from my mobile rather than finding the phone book.

Don't do it! It's hideously expensive and largely unnecessary. If you can access the web on your mobile, you can find numbers online for free on sites like Yell, The Phone Book and 118.

Alternatively, call Free Directory Enquiries on 0800 100 100. A call from a mobile isn't completely free, but it'll usually be charged at your network's standard rate (rather than the higher Directory Enquiry call rate that usually applies to mobiles).

In return for saving you money, you'll have to listen to a quick ad plugging a product or service.

5. Are you paying for your bills?

Of course you should be paying your bills, but you shouldn't be paying for them as well! A couple of years ago (after a decade of not checking my bills properly) I realised that around £1.50 was being added to my mobile bill every month.

When I phoned my provider to query the charge, I was told it was for 'itemisation'. In other words, I was inadvertently paying to have my bill broken down into the individual numbers called.

So - make sure you're not paying over the odds for itemisation or paper billing; you can keep abreast of your bills online. And if you do want paper copies, you can print them out at home for next to nothing!

6. A better deal on mobile phone insurance

The insurance that's sold alongside mobile phones is usually overpriced, inadequate and full of exclusions. For more on this, read Mobile Phone Insurance Is A Rip-Off! by my colleague Neil Faulkner.

If you feel you need phone insurance, you'll usually get better value for money by going to a stand-along provider. It's also worth making sure your phone is covered by your home contents insurance policy.

7. Make money from your old mobile

Do you have several old mobiles lying around gathering dust? You could turn them into the cold hard cash you need to pay your phone bill.

There are now several online companies keen to pay you for your old phone. You could also swap it for shopping vouchers, or sell it yourself on Amazon or eBay.

To get started, read Turn Your Old Mobile Phone Into Cash! by my colleague Rachel Robson. Bear in mind if you sell your phone on Love2Recycle before 28th Feb, you can get £5 extra. Enter the voucher code MSM242 at the check-out.

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