Top 5 Mobile Phone Scams

Are you curious about the top five mobile phone scams? You should be, if you are a mobile phone user. Mobile phone companies attempt to sneak plenty of little traps and snares into your service plan. Rachel Robson, writing for “Yahoo! Finance: UK and Ireland,” uncovered five of the worst scams and suggested ways to avoid them. Here are the highlights:

1. Insurance rip-offs. Insurance is one of the biggest mobile phone scams. Mobile phone insurance is usually very expensive, especially if the policy is with your mobile phone provider. And, if the damage to your phone is general wear-and-tear or a manufacturing problem, insurance will probably not cover you. To avoid an insurance scam, look for other ways to insure your mobile phone--your home insurance policy, for example. Or set some money aside in a savings account to cover the cost of a lost or damaged phone.
2. 800 numbers. Calling 800 numbers, or any phone number than begins with an 8, is extremely expensive. While these phone numbers are usually free from a landline, they come at a high cost to mobile phone users. At outrageous cost-per-minute rates, this is one mobile phone scam to avoid. Visit the “SayNoTo0870” website to learn more about these telephone numbers and how to avoid them.
3. Freebie deals. Some mobile phone companies offer freebies in return for signing a contract for service. Popular free items include laptop computers and video game packages. Free incentives sound tempting, but they are often too good to be true. In fact, they may tie you to extensive, lengthy contracts or high monthly taxes. To avoid a mobile phone freebie scam, read your service contract’s fine print and understand exactly what you are getting into.
4. Cash-back deals. Like freebies, cash-back incentives are just another way for mobile phone companies to snare you. If you are offered a cash-back deal--again, read the fine print. If you forget to send a payment or your statement gets lost in the mail, the deal will be off. And you may be stuck with a contract that is more than you bargained for. Are you willing to choose the cash-back deal anyway? Then be prepared to meet tight deadlines and stay extremely organized.
5. Calling abroad. Rounding the list of top five mobile phone scams is calling abroad. If you use your mobile phone to call or text overseas, expect to pay a lot for the privilege. Whether you place a call, receive a call, or check your voicemail, you will pay overseas rates and roaming charges. To avoid the extra costs, ask your mobile phone service to switch off your voicemail before you leave on holiday. And consider an international traveler service to save you money during your vacation abroad.