The real cost of switching phone carriers

(InvestigateTV) — March is the most common month for customers to shop around for a new mobile phone carrier, according to NumberBarn, a company that works with nearly every wireless carrier.

Jeremy Watkin, director of customer experience for NumberBarn, said tax season is one reason March stands out.

“Customers are starting to get their tax refunds and that gives them a little bit of financial freedom to be able to pay off their phone contracts, get out of their contracts and pay off whatever latest version of the iPhone they have,” Watkin said.

Watkin said anyone shopping for a new phone plan should look beyond introductory pricing and ask how much the bill will be after the promotion ends.

“Don’t be too bedazzled by the promotion that you got. I think we’ve all been a part of promotions where at the end of the promotions we saw our bill go up by I don’t know, x number of dollars. And it’s a little bit shocking and you realize ‘Oh shoot I signed a contract for two years,’” Watkin said.

Watkin also recommends asking about taxes and regulatory fees. NumberBarn found those fees can range from $5 to $15 per month and vary by state. Additional questions to ask a carrier include:

• Are there activation fees? Those can run $40 to $50.
• What is included in your data plan?
• Is a mobile hotspot included?
• Are there data limitations if you stream frequently?

Watkin said the goal is to determine whether a deal is genuinely competitive or whether the long-run cost will exceed what you currently pay.