i just saved $500 on my cell phone bill

i've been annoyed with my cell phone bill lately. here's the problem. my verizon bill, before taxes, was $74.98 per month. the breakdown:

• $59.99 per month for 900 minutes
• $10.00 per month for 500 text messages
• $4.99 per month for insurance on my phone

the reason this whole thing was really bothering lately was because a) i have verizon and so do most people i call regularly so i never need 900 minutes and b) i dropped my cell phone in a glass of water at the beginning of december and therefore was paying insurance for a phone that didn't work.

"for pete's sake, liz," you say, "if you have insurance, why not just replace the phone?" well it turns out that since it was all my fault that i dropped it in a glass of water, and not a malfunction of the phone, the insurance company was going to charge me $50 to replace the phone.

this seemed really stupid to me since i was seeing pre-owned versions of my phone (a pretty basic samsung) online for about $75. i had already paid 6 months worth of insurance on this phone (i got it back in august). 6 months x $5 = $30. $30 + $50 = $80. that is $5 more than the phone is worth. so i was pissed and just reverted back to my old nokia and seethed.

i bitched to a bunch of my friends who kept saying "call verizon! talk them down! you're a lawyer!" and finally i realized that i do not have to put up with this crap. as if by magic, just today julie sent me a link to this blog, which had this article on it, which addresses my exact problem!

as the article suggests, i went to this link and tracked my usage and figured out that no way in hell do i need 900 minutes... i need about 400-500 per month. that same link gave me suggestions on what plans would be best for me. as it turns out, verizon was the best plan for my needs. i also independently researched cincinnati bell, which was not one of the options listed. verizon was still the best. given that most people i call regularly also have verizon, and they let you have free unlimited calling with other customers, i was very interested in staying with them if possible.

so i called verizon. "hey. i'm having a financial crisis. i think i'm going to switch to cincinnati bell since they have this great offer that will let me have 500 minutes with unlimited text messages for $54.99 per month with no contract. also, i dropped my phone in a glass of water so i need a new phone and they'll give me one for free. i know i have insurance but i don't feel like paying $50 for a new phone. can you guys help me out? if not i just want to cancel my contract."

within about twenty minutes of haggling (very polite, no yelling), we agreed on a new plan: 450 minutes per month plus 500 text messages for $49.99 per month. i am also getting a $25 credit towards replacing my phone, 150 extra minutes for the next 60 days, and i can cancel the insurance on my phone at any time after i make the claim to replace the phone (which i will do next week). in addition, none of these changes will cause my contract to extend past the august 2010 end date.

in one hour (40 minutes of research + 20 minute phone call) using the very handy websites listed above, i saved myself $24.99 per month for the next 19 months.

total savings: $24.99/month x 19 months + $25 for new phone = $499.81.