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No contract broadband
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No contract broadband
If you've been let down by a previous provider, or don't like the idea of committing to a 12, 18 or even 24 month contract, there is another way. Some suppliers do offer broadband without a minimum contract term, or with only very short three month commitments - perfect for anyone who doesn’t want to be tied to the same provider for the next year at least.
While this is the perfect solution for some people, no contract broadband packages are not without their pitfalls and there are some things that you’ll have to keep an eye out for.
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Additional fees
The majority of providers lease their broadband lines from BT (www.BT.com) and have to pay BT to connect you. When you sign a lengthy contract, you’ll often be connected for free, because your ISP knows that it will recoup the money through your subscription over the course of your contract. But if you take out a contract-free package and only stay with the company for one or two months, it won’t make its money back. This is why you have to make sure you read the small print and be prepared for any number of hidden charges and fees.
Upfront charges
Some ISPs that offer no contract broadband packages will charge an upfront fee when you join. This covers the cost that they pay BT for your connection, and might be better than being lumped with it when you want to cancel, and times might be a little harder.
Cancellation fees
More tempting to the naïve consumer are those broadband packages that are advertised as having no contract, and no set-up or connection fee. But more often than not, these packages will charge a cancellation fee if you leave within the first 12 months, even if you’re on a month-by-month contract.
Three month contracts
If you know that you definitely don’t want your broadband for a whole year, but will need it for at least three months, then Be Broadband (www.BeThere.co.uk) offers fast, reliable broadband on three-month contracts with speeds of up to 24Mb.
While these packages are a little pricey, you will get some of the UK’s fastest broadband speeds, with downloads at up to 24Mb, a free static IP address and much faster uploads than with a standard connection - perfect for gamers or home office users.
Mobile broadband
Mobile broadband providers such as O2 (www.O2.co.uk), 3 (www.Three.co.uk), T-Mobile (www.T-Mobile.co.uk) and Vodafone (www.Vodafone.co.uk) all offer rolling one-month and pay-as-you-go packages without long contracts. You’ll be able to take your broadband with you no matter where you go and if you use mobile broadband to replace your home connection you’ll be able to save £126 a year on line rental alone.
However, do keep an eye on your downloads as mobile broadband packages have far lower monthly allowances than traditional broadband packages and you could be charged if you go over your limit.
Monthly vs Yearly contracts
So what’s the best option for you? You can find very competitive no contract broadband packages if you shop around, and if you’re sure that you will have to cancel within 12 months, then even paying the cancellation fee could be much cheaper than paying the remainder of your 12 month term - which is what you’ll have to do if you sign a standard 12 month contract.
If you definitely need a no contract package, then you should consider paying the fees upfront with Direct Save Telecom, Eclipse or Plusnet so that costs of up to £50 aren’t sprung on you when you move house, or at hard times. Plusnet also offers the cheapest starting price per month for a contract-free package. Alternatively, if you already have a broadband connection, migrating to a monthly contract could cut your exit fee down to as little as just £12.93.
Bear in mind that its not just one month or one year contracts that are available; 18 and even 24 month contracts are now available too. These are often cheaper per month - and many offer freebies such as laptops of games consoles to tempt you, but leave you stuck if you’re not happy with the service, no longer need it, or find a better deal elsewhere.
You can compare over 100 broadband deals on BroadbandChoices.co.uk so use our broadband comparison calculator to compare the costs of different packages, and find the best deal for you.
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