Avoiding getting into debt with a mobile phone

To avoid money problems with a mobile phone understand what you are getting into. Read the network service connection agreement (contract) before you sign it and don't sign anything unless you understand your obligations under it.

If you don't feel sure about signing up with a network provider for up to 2 years then try the pre-paid services first. At most you will be stuck with a particular service until the recharge card runs out. When this happens you can choose to stay with that network service provider or try another. It's a good way of trying different call plans and assessing costs associated with these plans.

If you have mobile phone bills mounting up and you need some help budgeting or calculating your repayments or even understanding your obligations under a service connection agreement then contact a financial counsellor. Financial counsellors provide free, confidential services and are available through Credit Helpline, some neighbourhood centres, church groups, charitable organisations and community legal centres.