Free Line Rental Mobile

In the times we live in at the moment, when everyday consumers see the word ‘free’ they automatically assume that it is a scam. The truth of the matter is that yes, many of these ‘free’ deals do end costing and not being free. But if you are organised and methodical about approaching the deal and keep all paperwork organised whilst on the deal, then you can indeed get free line rental.

So how does Free Line Rental work?

Free line rental is essentially a mobile phone contract in which you pay for, like a normal mobile phone contract, and then claim the money back afterwards.  Unlike some mobile phone contracts, free line rental contracts are made by mobile phone providers and not mobile phone networks (so for example the contract will be provided by a company such as Nokia instead of a network like Virgin Mobile). Free Line Rental contracts are typically incentive deals. Which means that they offer you a free mobile and contract in exchange for a number of things, one being free advertising. If you get a good contract and its free, you’re bound to tell your friends and family, meaning that they’ll sign up too and the mobile phone providers will get more customers. The other way free line rental deals make their money is by counting on your busy lifestyle. Basically, in order to claim your money back you have to be incredibly organised. Free Line Rental deals only give you your money back if you give them the correct evidence. They require you to send them monthly bills at certain times during the contract. These times are usually in 3 month intervals, so you send 3 months worth of invoices in month 3, the next 3 invoices in month 6, the next 3 invoices in month 9 and so on. But the deadline for sending your invoices in is usually in a very small window, so it has to arrive within that week or you will not claim your money back. Free line rental deals are often more expensive than if you don’t follow the rules exactly you can end up paying more than you would when actually paying for a normal contract. So, in short, the free line rental deals make their money by relying on you forgetting to send your invoices at the right time. They think that your busy lifestyle and work/family commitments will stop you from remembering to send all the correct paperwork off in time.

So, free line rental deals do work, but in order for them to work you need to be organised.

Do free line rental deals really make the phone providers money?

If used correctly, 12 month free line rental deals actually make the phone providers lose money. Mobile phone providers make their money on commission from the mobile phone networks, and quite a large commission at that. The mobile phone network controls the monthly fee but pay the mobile phone commission on top of that. So if you accept into one of these deals and follow all the rules and get your money back, the mobile phone provider who gave you the contract will lose their commission.

Of course there are risks with free line rental deals. Think about how long the contract is and how much they want paid up front. Many companies get you to pay monthly but sometimes they want you to pay in 3 or 4 month instalments. There’s always a risk of the company going into administration, especially in the current economic climate. So if you want to go for a free line rental deal, make sure you go for one that means you pay monthly, so that if something does go wrong with the supplier, you only lose a month’s money.