“If you already own a phone, switching to a SIM-only contract can save you a significant amount of money in the long run: they typically offer lower monthly rates since you’re not paying for a new phone.
According to Ofcom data, a fifth of all handset customers (19%) are currently out of contract and are paying outdated prices that reflect the cost of paying back a phone, even though this "payback" period has been completed.
Ernest added: "It’s important to remember that if your bundled phone contract includes a handset, you’re essentially ‘paying it off’ with your monthly phone bills.
The warning comes from the price comparison site uSwitch, which says millions of Brits are paying more for their phone handset than they should as they are out of contract.
The experts at uSwitch say customers need to be vigilant when it comes to their contracts, and one way they could save money is by switching to a SIM-only deal from their handset contract.
