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How to Save Money When Purchasing a New Phone

By U.S. News & World Report

Every time a new iPhone is released, we feel the pressing need to trade in our “outdated” versions for the new shiny toy on the block. People are more than willing to line up in droves, pay any price and sign their life away to another long, expensive cell phone contract. This September, the competition and desire was especially fierce, since Microsoft, Samsung and Motorola also released new phones. The question is, how do we go about getting our hands on one of these new devices without feeling like we just sold our soul to the cell phone devil? Here are a few suggestions:

Wait a few months:

Remember when the iPhone 6 was first released and there were stories of the phone literally bending in peoples’ pockets? Yeah, that happened. Not only is it smart to let prices drop after the initial release of a new phone, but also to give the cell phone companies a chance to work out any product-related kinks. But if you’re an early adopter or someone working in tech who just has to have the newest version, then consider the next options for saving a little extra cash when purchasing a new phone.

Sell or trade your old phone:

There are many ways to score some quick cash for your old device so you can upgrade to the next level. While selling it on your own through Craigslist, a social media platform, or friend might win you the most money, it will also cost the most of your time. Sites like Gazelle.com and NextWorth.com will pay cash for your new device. Don’t expect the best return on sites like these, however, as they are trying to keep their overhead low to make the most on selling your refurbished phone. Many major retailers will buy your phone back in the store to reduce the upfront costs of your new device, but don’t expect the most cash here. The process of trading in a phone to a retailer is similar to trading in a vehicle to a dealer: They want to give you the lowest amount possible. Your best bet is to look for deals where companies are promoting a minimum cash buyback for your old device.

Buy an unlocked phone:

If you are able to pay the upfront costs of getting an unlocked phone directly from the manufacturer, then you could be in the best position to save money. Not only will buying an unlocked phone spare you the cost of paying off your new phone in monthly installments with plans like Verizon Edge or AT&T’s Next, but it will give you the option to go contract-free on any wireless carrier. Which means that if the company you are using is costing too much or something goes wrong, then you have the no-strings-attached opportunity to change that. Not only is that liberating for your life, it’s liberating for your wallet.

Buy the previous generation:

This has to be one of the best ways to save when it comes to getting a new phone. Upon release of the newest generation, the previous generation’s price will drop or even bottom out to $0 when you sign a two-year contract. If you’re okay with having the next-to-newest phone, then this is your place to save. You can pay little to nothing to score a phone that was selling for hundreds of dollars only a few weeks before. Talk about a deal! If you’ve been hanging on to the old iPhone 4 to see the features on the new 6s, opt for the iPhone 6 instead which offers similar features at a shrinking price tag.

If you’re planning on switching plans:

Compare rates and data plans on sites like BillShrink.com and MyRatePlan.com to ensure you’re optimizing your cell phone plan for exactly what you need. If you’re not a huge data user, be aware of the upsell for a premium data package that a sales representative might push on you. Verizon, AT&T and T-Mobile, all have low-cost plans available if you aren’t really using your cell phone that much. Remember, you can always upgrade your plan if you find yourself coming close or going over any data or text limits, but you’ll find it hard to downgrade your plan once the contract is signed.

The important thing to remember here is to stay educated and be aware of the options available. The last thing you want to do is get locked into a contract where you’re paying too much for too little, and paying for a new cell phone on top of that. Look for the deals and snag them when you spot a good one.

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How to Save Money When Purchasing a New Phone originally appeared on usnews.com

Don’t Settle for Student Loans to Pay for Online Education

By WTOP Staff
Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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