Understanding No Credit Check Mobile Phones – Mobile phone dealers and carriers conduct credit checks to decide if the applicant or prospective customer is eligible for their contracts.
Prepaid or pay as you go plans don’t require credit checks.
You are prepaying and your services get terminated the moment you run out of money or validity, in whichever case the phone company or the carrier doesn’t stand to lose anything.
Contracts require companies to spend on the phone that you would actually be repaying through the plan tariff over a period of two years in most cases.
It is a risk that companies take when they invest in a mobile phone, allow customers to pay after consuming the services including talk time, messages and data and there is also the concept of allotting credit which will allow the customer to use much more than what the plan tariff has laid out.
Find No Credit Check Mobile Phones
Mobile phone credit checks are no different than the kind of checks run by banks and other financial institutions while considering your loan applications.
Every company or lender will have a certain credit score in mind.
Based on that, an applicant will be assessed and his or her repaying ability as well as intent will be judged.
Some people don’t have any financial problems or debts but they are bad with repayments and thus they have bad credit.
Mobile phone companies and networks don’t want to deal with such customers.
Even if they eventually deal with such customers, they want to reduce the risk by lowering the investments so they don’t offer the premium plans or the most rewarding packages to such customers.
The bottom line is that you will have to undergo mobile phone credit checks and only if you have a credit score acceptable to the dealer or provider will you get the particular plan.
What you may not know is that every plan and every phone has a distinct credit requirement.
The entry level plans which are the least rewarding have very lenient mobile phone credit checks.
The more expensive a phone gets and the better a plan, the more demanding are the credit requirements.
Some networks or dealers may entertain a credit score of 590 while some plans may demand 700. Some premium plans may demand as high as 800.
This is absolutely at the discretion of the providers or networks.
All you can do is ensure that you have the best credit score possible for you and that you pass the mobile phone credit checks.
Else, you need to look for mobile phone contracts for bad credit applicants.