Nowadays, many cell phone retailers are offering automatic cash back on mobile phones. This may raise some questions. Why would a mobile phone retailer give cash back, and how do they give it back automatically?
When you buy a mobile phone through a retailer, you are actually dealing with 2 companies, the network service provider, and the retailer. The retailer gets paid a commission by the network service provider for making them money by cash back with mobile phone contracts for their services.
The retailers get customers by offering a range of mobile phone deals. Depending on the retailer, they offer discounted line rental, free phones, or even free gifts. One of these deals is automatic cash back. This is because the retailer can not change the price of the monthly plan through the provider, but they can give you money to compensate for the money you will pay in the future. Say a customer wanted to negotiate for a 40% savings on their contract for 12 months. With automatic cash back with mobile phone contracts, what would happen is the retailer would just give the customer whatever they want to save upfront in cash.
A similar deal is called free or discounted line rental. With discounted line rental, however, the customer pays all bills, full price upfront, then submits paperwork and past bills in order to receive their money later on down the road.
Automatic cash back was invented as an alternative to this in order to avoid many of the hassles associated with discounted line rental. The guidelines in some cases were very strict, and unless a customer was very organized and very vigilant, they would not receive their rebate. Having the customer be paid right away is assurance of being an error free transaction by both the retailer and the purchaser.
The easiest way to find an automatic cash back mobile phone deal is online. Online stores have far less overhead, as a general rule, than a physical shop. Phone comparison sites are the most helpful for this. You can pick almost any combination of phones and plans and see exactly how much you will save right away.
Then compare comparison sights, see which ones will give you the best deals and promotions. Depending on who you go to in order to get your phone, you could maybe get a free phone, free gift, and automatic cash back. The super thrifty could even use the money they saved and got via rebate to pay their future bills. With the time and money saved by going through an online retailer, in many cases it is possible for people to have phones they once believed that they could not afford.
Mobile Phone Reviews
DialToSave brings you mobile phone deals with free line rental with all the latest mobile phone handsets. All offers include a free mobile phone and cash back or reduced line rental. Some contracts even have 12 months free line rental on a 12 month contract. You can browse our featured offers by handset or by network.
Article Source:EzineArticles
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