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Should I Buy, Finance, or Lease My Next Smartphone?

There are essentially three ways to procure the smartphone of your dreams: buy, lease, or finance it.

It’s that time of year –– Apple just released the latest and greatest model, it’s almost the holidays, and maybe you’re looking at your smartphone and feeling a little unimpressed. Whether it’s been years since your last upgrade, you cracked your screen, or you’re just itching for the next zippy model, you’re ready for a new phone. But you may find yourself wondering, should I buy, lease, or finance my next smartphone?

A Little History

In the early days of cell phones, it essentially worked like this: you signed a two-year contract with your cell phone provider, paid an upfront, discounted rate for a cellular device, and went on your merry way. That was just the way it was done.

No longer. These days, you can find yourself in a sort of analysis paralysis. First, you have to decide which carrier offers the best plan (we can lend a hand here). Then, you also have to select which smartphone is best for you (Android or Apple? Galaxy or Pixel? iPhone Pro Max or iPhone XR? The list goes on and on, and is a topic for another day), and how to actually acquire the device you choose.

There are essentially three ways to procure the smartphone of your dreams: buy, lease, or finance it.

Why You Should Buy Your Next Smartphone

Purchasing your phone from the manufacturer or a retail store, which gets you an unlocked device. Unlocked phones can be used on nearly any carrier, unlike a leased or financed phone, which is inherently associated with a particular carrier until you’ve paid it off. This means you can shop around for the best plan which can ultimately save you money. Sure, this can be overwhelming, but CellFee can help.

Owning your phone means you can also sell it when you’re done with it, or give it to someone as a second-hand device. But better yet? You now own your phone, which means you own it until you choose to buy a new one. Your monthly service plan will usually cost less since you’re not paying for hardware.

So if you’re budget conscious, someone who likes to keep things for the long haul, or if you travel internationally frequently –– purchasing your phone outright is a great option.

Why You Should Finance Your Next Smartphone

Smartphone finance plans spread the cost of your phone out over a predetermined period, generally 24 months. Typically, the rate for financing your phone is 0%, and at the end of the two years, you own the phone outright. At this point, you’re able to take it to another carrier with a plan that better suits your life, sell it, or pass it down to someone else. Once you own the phone, you usually have a cheaper monthly bill.

While not a glamorous option, financing your phone is a great, cost-conscious choice.

Why You Should Lease Your Next Smartphone

Think of leasing your phone like you think of leasing your car –– you’ll pay monthly for your phone along with a monthly charge to borrow your phone from your carrier. At the end of the lease, you can either trade it in or purchase it outright.

Leasing your smartphone is an excellent option if you don’t want to shell out $700+ in cash upfront. Leasing also leaves you with options –– trade it in or pay it off and keep it for good.

Leasing your phone through a wireless carrier is a great option for early adopters or for those who are phone curious –– perhaps you have an iPhone and next go-around you’re itching to try a Galaxy. No need to wait if you lease your phone through your carrier.

You can also choose to lease your phone direct from Apple. With their iPhone Upgrade Plan, you can upgrade your iPhone every year and includes Applecare+ repair program.

Is There Another Option?

The most recent option on the cell phone scene is the early upgrade plan. It’s essentially the halfway point between leasing and financing. You’re eligible to upgrade your phone more often than every two years. While not all carriers offer a plan like this, it’s worth exploring if you’re itching to upgrade with every new phone release.

Whatever route you choose when selecting your next smartphone, Cellfee is here to help you choose the best pla


Simply click here to get started with Cellfee.

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