Distinctive features of bad credit mobile phones

It is undeniable that the UK mobile phone contracting industry has undergone a complete metamorphosis from the years gone by. Back in the day when mobile phones were beginning to make an impact, it was almost impossible or unimaginable to hear terms such as “no credit check mobile phones”, “guaranteed mobile phones” or even “bad credit mobile phones”. At the time, if you had a poor credit rating, you could as well kiss the probability of getting approved for a phone contract goodbye.

Thanks to a change in mindset and most of the mobile phone providers being accommodative, there are now numerous providers offering mobile phone plans for people with bad credit. In fact, its correct to say that bad credit mobile phones have become very popular in the UK especially to those who over the years have suffered the indignity of one rejection over the other every time they made efforts to be approved for a phone contract. But what are the distinctive features or characteristics of bad credit mobile contracts?


Unfortunately, bad credit mobile contracts are generally costly as compared to standard or ordinary mobile phone contracts. The reason or explanation given by providers offering these contracts is because the bulk of people who apply for bad credit mobile contracts are deemed as high risk. So in order to mitigate the risks, providers tend to price these contracts highly.


Another outstanding feature about bad credit mobile phone contracts is that they come with fewer benefits as compared to ordinary contracts designed for individuals with a healthy credit history. Again, due to the fact that they are deemed high risk, providers tend to offer them fewer minutes, text messages as well as data bundles to reduce risk on their side.

Contract lock in period

While people with a healthy credit history have a free hand to determine the number of months they want to be locked in a contract, the same cannot be said of bad credit mobile contracts or individuals who apply for them. Because of the high risk of defaults by applicants, most of these contracts require that an applicant be locked in for a period of not less than 18 months.


While standard contracts designed for those with a healthy credit history have no requirement for an upfront deposit unless a person wants to, the same cannot be said of bad credit mobile contracts. Most of the time, providers make it a requirement for an applicant to pay a small deposit prior to approval. This is just a security feature and not a means of rejecting applications. The deposit amount is generally refunded to the customer at the expiry of their contract provided that they met their contractual obligations.