Cell Phone Contracts and (Hyper)Inflation

[Lindsey]

We've been waiting for our cell phone contract to expire for a while, so we could switch to one of the $40/month unlimited everything, no contract plans. Its getting near the end of our contracts, and the more I look into those cheap plan options the more potential pitfalls I see. Someone please help me here, because my logic is telling me now that a cell phone contract may actually be something I want. If we are heading for inflation, or more so hyper-inflation, would it not be a good idea to be locked-in at today's price? How do the carriers survive if a large portion of their customers have contracted rates?

[talkingpointes]

Cell phone carriers are near the end of their lives. Wireless, android, skype and google phone number = 10-20$ a year.(available on with wireless, for now.) Carriers will more than likely just morph into ISP's. It's inevitable. Just wait it out. I had sprint for almost 4 years and ohhh my, $#@!tiest service ever.

[Lindsey]

Cell phone carriers are near the end of their lives. Wireless, android, skype and google phone number = 10-20$ a year.(available on with wireless, for now.) Carriers will more than likely just morph into ISP's. It's inevitable. Just wait it out. I had sprint for almost 4 years and ohhh my, $#@!tiest service ever.

I'm not sure I follow. I'm not a technophile. Why are the carriers on their way out? I use Skype from home, but I make most of my calls away from home. What are you advising about the contracts? Will a contract not be valuable if/when hyper inflation comes?

[phill4paul]

I'm not sure I follow. I'm not a technophile. Why are the carriers on their way out? I use Skype from home, but I make most of my calls away from home. What are you advising about the contracts? Will a contract not be valuable if/when hyper inflation comes?

If TRUE hyper-inflation hits the cell phone would be the least of your worries. I'd go with whatever best economic plan works for you in the 'here and now.'

[Seraphim]

This.

Luxuries go out the window when your paycheck stays 2000$ every 2 weeks and a carton of milk runs at 300$ and rising.

If TRUE hyper-inflation hits the cell phone would be the least of your worries. I'd go with whatever best economic plan works for you in the 'here and now.'

[Blueskies]

This.

Luxuries go out the window when your paycheck stays 2000$ every 2 weeks and a carton of milk runs at 300$ and rising.

In hyperinflation, the wages rise as well. Otherwise, people would not go to work.

Its the debt and savings mechanisms that become distorted.

[talkingpointes]

I'm not sure I follow. I'm not a technophile. Why are the carriers on their way out? I use Skype from home, but I make most of my calls away from home. What are you advising about the contracts? Will a contract not be valuable if/when hyper inflation comes?

The hardware of mobile devices can now have apps and run like a home computer. Voip is infinitely cheaper, but we need swaths of wireless networks to always remain connected. Seeing as how good 3g,4g are I would say were on the front steps of another revolution similar to music once it was out of the hands of big execs control. They will whine, and try to fight us, but we will be victorious. In the grand scheme of things it just seems to silly were using telco service from these co.s still.

[ShaneEnochs]

I work for a cell phone company. Want to know a secret? Each text message you send/receive costs them 1/6,000 of a cent.

[coffeewithchess]

Even if you are in a contract, there is NOTHING to prevent the carrier(s) from raising the price on you. AT&T raised their monthly contract prices just a few months back on customers with data plans. It went up I think by like 7% (maybe more).
My wife and I are literally switching in the next 2 weeks, to one of the unlimited plans for $45 a month, so we'll be paying the same rate we are now...but with unlimited data included, and she'll be gaining unlimited text. She currently has to pay-per-text, as the carrier doesn't offer a simple texting package anymore, and rips you off with an "unlimited" plan for more than $25 a month.

I have been testing the service for the last 2 weeks, and it's exactly the same as what we have now.
It's cheaper for her to buy an unlocked iPhone 4s, than to get one under a contract plan. She will make up the difference in price in a year.

[cubical]

In hyperinflation, the wages rise as well. Otherwise, people would not go to work.

Its the debt and savings mechanisms that become distorted.

Not as fast as the money is coming out. If you are a banker, you should be fine. If you are a librarian or 7/11 cashier, watch out.

[Blueskies]

Not as fast as the money is coming out. If you are a banker, you should be fine. If you are a librarian or 7/11 cashier, watch out.

Economies crumble during hyperinflation because of all the gross distortions, and virtually everyone suffers to some extent. But wages rise along with the price of goods. In a hyperinflation, the people who take it the most are those with large savings (wiped out) or those living on fixed incomes (not worth anything).

It's kind of ironic that the young support Paul and not the old. Workers in their 20s and 30s get off OK in a hyper inflationary scenario. In fact, it isn't good for general economic growth, but if you have thousands in student loans and just started paying your mortgage, a hyperinflation is good in some respects. On the other hand old people on pensions literally get left to die.

[psi2941]

Economies crumble during hyperinflation because of all the gross distortions, and virtually everyone suffers to some extent. But wages rise along with the price of goods. In a hyperinflation, the people who take it the most are those with large savings (wiped out) or those living on fixed incomes (not worth anything).

It's kind of ironic that the young support Paul and not the old. Workers in their 20s and 30s get off OK in a hyper inflationary scenario. In fact, it isn't good for general economic growth, but if you have thousands in student loans and just started paying your mortgage, a hyperinflation is good in some respects. On the other hand old people on pensions literally get left to die.

and they should die, they left us this country in a $#@!ty affair, they were very irresponsible. and the only person who realistically wants to save this system they call him a crazy person.

honestly we should embrace the collapse like soviet Russia in 1991

[Just Flossin']

Economies crumble during hyperinflation because of all the gross distortions, and virtually everyone suffers to some extent. But wages rise along with the price of goods. In a hyperinflation, the people who take it the most are those with large savings (wiped out) or those living on fixed incomes (not worth anything).

It's kind of ironic that the young support Paul and not the old. Workers in their 20s and 30s get off OK in a hyper inflationary scenario. In fact, it isn't good for general economic growth, but if you have thousands in student loans and just started paying your mortgage, a hyperinflation is good in some respects. On the other hand old people on pensions literally get left to die.

It's ironic until you realize that people just don't understand the big picture. They get caught up in political one-liners and false choices because that's what they are told to do by the MSM. Once you realize this, it just becomes sad. Very, very sad.

People vote for their own economic slavery. Go figure. I guess it lends itself to an old theory I heard. Something like 80% of people faced with literal life or death scenarios, cannot change their habits (eating, lifestyle, etc.) to extend their life and rather just accept death.

Change is hard and unpleasant.

[Seraphim]

Yeah, it is ironic lol.

"Can't happen here" attitude.

Economies crumble during hyperinflation because of all the gross distortions, and virtually everyone suffers to some extent. But wages rise along with the price of goods. In a hyperinflation, the people who take it the most are those with large savings (wiped out) or those living on fixed incomes (not worth anything).

It's kind of ironic that the young support Paul and not the old. Workers in their 20s and 30s get off OK in a hyper inflationary scenario. In fact, it isn't good for general economic growth, but if you have thousands in student loans and just started paying your mortgage, a hyperinflation is good in some respects. On the other hand old people on pensions literally get left to die.

[WilliamC]

I work for a cell phone company. Want to know a secret? Each text message you send/receive costs them 1/6,000 of a cent.

Which is one reason I have never texted in my life and never will.

I delete the few text messages I get on my $10 pre-paid tracphone without even reading them.

Of course I don't have many friends to begin with so that helps

[LibForestPaul]

Which is one reason I have never texted in my life and never will.

I delete the few text messages I get on my $10 pre-paid tracphone without even reading them.

Of course I don't have many friends to begin with so that helps

Do you know you have already paid for unread text messages?

[Domalais]

If we are heading for inflation, or more so hyper-inflation, would it not be a good idea to be locked-in at today's price? How do the carriers survive if a large portion of their customers have contracted rates?

Don't worry about it.

None of the people who talk about hyper inflation happening in the near future actually believe that it will happen. If they did, they would be maxing out as many credit cards as they could and taking out loans in the maximum amount banks would lend them. Since they aren't, well... obviously they don't believe what they say.