Brad Roemer Real Estate Discusses If Prepaid Phone Cards Are Worth It


Certainly, in 2019, most everyone has a smartphone, right? Well, not really. There are many immigrants to the United States that have not yet made enough money to make that purchase. Brad Roemer Real Estate knows that the two states that have the most immigrants are California and New York. This is the two regions he used when he started looking into the value of prepaid phone cards. International phone calls can be quite expensive no matter what method you use, but it seems that as more time passes for prepaid phone cards, the less value that they actually provide the customer.

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The Cards

No matter what your reason for making a prepaid phone card purchase, we think that you may find that the value is not what you expect. After purchasing over one hundred phone cards from each state from various locations, it was found that so many of them were not what they said they were. One of the cards promised us that we could spend over 25 hours on the phone for the low price of $5. When it came time to use it, however, we found that there were so many hidden fees that we did not get even 10 hours of talk time. Now, don’t get us wrong, that is a ton of time on the phone. However, when you have limited funds and expect a phone card to last you a month or two and it barely lasts you a week, this can be quite disconcerting. Add this to the number of cards that were issued by companies that had simply gone out of business and you have a recipe for disaster. We are not expecting these companies to not be able to make money, so we are ok with the service fees, but it needs to be made completely clear from the start. About 10 percent of the cards that were purchased had no indication on how much, if any, service fees were to be taken out of the call. Many of them applied the service fee for every call and it completely drained the card before using the number of hours we were promised.

Crack Down

In recent years, the government has been cracking down on these cards. Not only are they now taxable as both a purchased product, but they are also taxable if you gift one to someone. This means that if you are just trying to help someone out to call their family, they are technically expected to claim that as income on their tax forms. That is the bad part of the government crackdown. The good part is that they are making sure that the suppliers are giving you all the details that you need to be a well-informed shopper. Meaning, if you look at cards now, they will have to display the cost of every transaction they are going to take from you.

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Brad Roemer Real Estate hopes that this little article has helped you to see that as of right now phone cards are not worth it, but hopefully will be in the future. It is the number one way that immigrants are using to keep in touch with family and friends back home. They should not be scammed out of their hard-earned money.

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