How does a bad credit mobile phone differ from a standard mobile phone contract?

We all can attest to the fact that bad credit mobile phones have indeed brought a positive change in the lives of UK residents who have been battling with a poor credit rating. In the past, before bad credit mobile phones came to be, getting approved for a mobile phone contract was an impossibility of sorts.

Mobile phone providers gave applications one look and discarded them. The only people who were assured of approval for standard mobile phone contracts were those with an excellent credit rating. While we might want to get into the reasons why this was so, today we want to shed light on how a standard mobile phone contract differs from a bad credit mobile phone contract.

Target market

Bad credit mobile phone contracts target UK residents with a less than average credit rating or bluntly put, those with bad credit. With standard mobile phone contracts, one needs to have a good credit score. It is therefore correct to say that the target market for these two mobile phone contract types is quite different.

Credit checks

For standard mobile phone contracts, there is no discussion on the issue of credit score. In fact, credit checks are a must and if a person comes short, they cannot be considered for a phone contract. The same cannot be said of bad credit mobile phones. Credit checks are not an issue or rather a person’s credit score is of no consequence when it comes to bad credit mobile phones. Even those with a history of CCJ stand a chance of being approved.

Perks

Those on bad credit mobile phones enjoy fewer benefits as compared to those on a standard mobile phone contract. There is a great difference in the number of minutes, the data bundles allocated, and the texts allocated in a month between these two types of mobile phone contracts. Those on a standard contract have better perks and better deals as compared to those on a bad credit mobile phone contract.

Contract length

Individuals under a standard contract can easily opt out of their contract given that they are not required to be locked in for a prolonged period of time. The same cannot be said for those on bad credit mobile phone contracts. The minimum lock-in period for bad credit mobile phones is pegged at 18 months compared to standard mobile phone contracts that are pegged at 12 months.