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Contract: is for, say, 18 or 24 months. You pay a basic fee each month, usually for inclusive calls/texts/internet useage.
Prepaid: which is quite rare these days. You Pay up front for the length of the contract, say, the year, again for an agreed amount of calls/texts.
Any calls/texts/internet over and above the agreed amount are billed each month.
The other option is obviously, 'pay as you go' You normally by the phone, buy a SIM then pay a 'top-up' charge every time you need minutes/texts.
Wiki User
∙ 13y ago
Wiki User
∙ 10y agoGenerally, "prepaid" means that you pay-as-you-go for service as you need it. Where as "contract" means that you are locked into an agreement for an allotted amount of time.
Prepaid and contract are often referred to in the telecom industry. Many of the carriers offer both contract and prepaid options.
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There are definitely benefits to using prepaid and there are benefits in the contract wireless plan. Check out this website to see the differences between the two. http://cellphones.about.com/od/serviceplananalysis/a/prepaidwireless.htm
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temporary/contract work
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