“Who reads the fine print?” You have probably heard this from someone in your life, maybe uttered these words yourself. When it comes to subscription contracts, for the most part, most people breeze through the terms then sign on the dotted line to get going. But it’s usually different with smartphones.

When you’re signing up to pay for a plan monthly, you want to make sure you are getting everything you need. But most important, that you aren’t going to open your bill one month and see an add-on charge for something you didn’t know wasn’t included. There are lots of details to be aware of with a standard cell phone plan, both in terms of what could incur additional charges as well as what your plan inclusions really mean. Here, we’ll walk you through some of the essentials.

What is Unlimited Data Really?

Most carriers nowadays promise “unlimited data,” which reassures subscribers of certain plans that they can use their phone as much as they like without incurring extra fees. For a teen/tween parent who has ever been surprised with a massive bill, this is a game-changer. But there are a few things to note about seemingly “unlimited” data.

With most carriers, unlimited data is indeed unlimited. But there’s a catch. After you surpass the allotted amount of data for your plan in a month, the speed is throttled, or slowed down, until the new billing cycle commences. These speeds are usually too slow to do anything significant, like stream video or music, make video calls, or play games. Even loading websites will be challenging. You can still theoretically get online, but you’ll only be able to do less data-intensive tasks like send and receive instant messages and check e-mails.

With Rogers, Bell, and Telus, upload and download speeds are reduced to 512 Kbps with unlimited data plans once you reach your monthly plan “limit.” This means videos will probably buffer or be choppy. Websites will load at early 2000s AOL speeds: doable but frustrating given how accustomed we have become to blazing fast speeds. With other carriers, it’s even slower. Virgin Mobile indicates that speeds slow down to 256Kbps with its unlimited plans. It’s the same speed for Freedom Mobile for downloads, 128Kbps for uploads (128Kbps download and 64Kbps upload when you’re connected to a partner network in Canada, the U.S., or Mexico) once you exceed the data allowance in an applicable plan.

Bottom line: having a plan with unlimited data is still useful. You know you can get online in a pinch if you need to hail an Uber or send a message. Your child also can’t rack up a huge bill. But you still need to consider the actual data allotment in your plan: that will tell you how much you can really use your phone.

Roaming Charges

If you don’t turn off roaming in your phone’s settings before you enter a new country, you will get charged for using data as well as making and receiving phone calls as soon as you land or arrive. Most carriers offer automatic roaming that kicks in immediately when you enter a new country. This costs anywhere from $12 to $15 per day, depending on the country and carrier. The benefit is that you can use your phone as you would at home. Check if your plan includes this with automatic enrollment.

This feature (Rogers calls it Roam Like Home, Telus Easy Roam, and Bell Roam Better) all do the same thing and can all save you money in the long run. It eases the stress of worrying how much you’ll get charged for streaming if you do so on a cellular network. With these roaming add-ons, you can call back to your host country and call local numbers in the country you’re in for free, as well as use and draw from the same data bucket you have at home. If you call somewhere out of the country code, however, you will still incur a long-distance fee. The cost does add up: a 7-day trip to the U.S. with Rogers, for example, will cost $84.

If you prefer to save money, leave roaming turned off and rely on Wi-Fi networks alone while traveling. You could also turn roaming on only for the days you need it, like the few days in the middle of a trip. But once it’s on, even for a minute, the charge will kick in for a full 24-hour period. If you exceed the 24-hour period by even a few minutes and roaming is still on, you’ll be charged for the next full day. You can’t turn it on to send a message and turn it back off to avoid the charge unless you have signed up for an alternative pay-per-use roaming plan. So, unless you intend to use this feature as soon as you land, turn off roaming before departing your home country.

If you travel often, checking with your carrier to see if you have this automatic roaming option with your plan. Otherwise, look into long distance add-ons before traveling, turn roaming off, or consider buying a local SIM card.

The Connection Fee

If you are budgeting down to the dollar for a new phone and contract, you’ll need to factor in a connection or activation fee, which most carriers charge. This can be as high as $60, paid upfront before your new phone is set up. There are ways around it. Usually, if you order the phone online, you can avoid this annoying add-on fee. Carriers often run promotions where they waive the fee as well.

If you’re a valued long-time customer or even if you’re a new one switching from another carrier, don’t be afraid to negotiate and ask for this fee to be waived. In most cases, it’s worth keeping you as a customer and they might waive it as a sign of good faith.

The good news is that thanks to CRTC regulations back in 2017, carriers can no longer charge customers with locked devices to unlock the phone for use on its network: this must be done for free.

Financing Versus Buying Outright

There are benefits to financing a new phone, especially a high-cost premium one. When you do this, you pay nothing at the onset. But the cost of the device is subsidized over a two-year period, with the amount added to your monthly bill. This means you have higher monthly bills, but you are also paying for your phone in increments versus paying $1,000+ outright.

However, there are downsides, too. This locks you into a plan and with that carrier for the 24-month period. If you don’t have plans to switch and you can get a phone on a deal that includes $0 down with a zero per cent financing rate, it might be worth it for you.

Some carriers have tab plans, which allow you to pay for the phone monthly, separate from your service bill, and get a discounted rate. You might end up paying $960 for an iPhone, for example, instead of the full $1,200 retail price. The catch is that if you decide to leave early, you will be responsible for paying the full price of the phone outright, not the discounted price you were paying towards. Basically, the discounted rate you initially received is deemed invalid.

There’s also a leasing option with carriers like Rogers that can save you money on the total cost of the phone just like with the tab. Once the two-year period is over, you can give the phone back and buy something new or pay out the remainder of the price and keep it. You’re not really saving any money here unless you upgrade, but then you’re tied to buying a new phone to realize those savings. Plus, the phone has to be returned in decent condition.

Ideally, save up the cash and pay for a new phone outright. If you are committed to a carrier, a phone, and a plan, however, using the tab method can save you money in the long run. And two years will go by at the snap of your fingers.

Read the Fine Print

It’s so important to read the fine print when you’re signing up for something that will require a lengthy contract and month-to-month payments. It will take extra time, but don’t be afraid to ask questions and have every scenario presented to you so you know what you’re getting into. Wireless carriers, over the years, have had to work on simplifying the confusing wording and fine print in contracts. But when you’re doing something like financing a phone, roaming, or using a lot of data, you want to make sure you will have what you need. With most carriers, you can adjust your plan on the fly as desired. But the responsibility is always with you to be fully educated on what’s included and, most importantly, what’s not.

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