Phone Cards


Prepaid phone cards first showed up during the 1970s in Europe.  While they were quite popular in the various European countries, these cards were not introduced to the United States until 1989 when they were offered to consumers in Hawaii.  Today, this unique offering is found in more than 185 countries and still growing.  By 2000 sales for these cards reached over $3 billion with expectations of surpassing $10 million by next year.

Mobile cards have proven to be one of the fastest growing communication products ever, used for domestic and international calling.  Because these cards have become such a hot product, thousands of companies now sell them, meaning more research on your end.  The following pros and cons will make the purchase easier.

Pros

  • Phone cards can be purchased with any amount of minutes.
  • These cards are extremely versatile, making them a great choice for travelers.  For instance, making long-distance calls from a hotel room is expensive but to save money and enjoy convenience, a card could be used.
  • These cards are no larger in size than a normal credit card, making it easy to carry them in wallet or purse.
  • Because the phone card is already loaded with money, you never have to worry about making a call when short on change.  Simply find a phone, use the card numbers, and within minutes, you would be connected to your party.
  • Most companies offer cards with preset minutes in varying numbers but some also allow the buyer to determine the number of minutes wanted.
  • Calling cards are sold in convenience stores, grocery stores, online, or directly from the telecom company.
  • Often, a special PIN number is provided to ensure if the card were lost, no one else would be able to use the loaded minutes.
  • There is no requirement to lock into a long-standing legal contract.
  • Since this is a pay as you go setup, you avoid costly monthly bills.

Cons

  • Sometimes, prepaid phone cards come with limitations so before you purchase any card, it would be important to read all the information provided.
  • Call quality can sometimes be an issue in that you want to have a connection of clarity.  However, because there are so many companies now getting involved with this multi-billion dollar industry, you need to buy from a reputable telecom company to avoid bad connections, giving you the ability to make a call without static or other disruptions.
  • Hidden fees can also be a disadvantage, which is why doing research ahead of time would allow you the opportunity to read the fine print so you avoid paying more.
  • Some companies allow the card to be reloaded with minutes while other companies do not, meaning instead of adding more minutes onto an existing card, you would have to purchase a second, third, fourth card, etc.

While you might save money in choosing a card with a low purchase price, you could end up paying a higher connection rate.