Consumers compare plans, and cell phone dealers offer $48/month phone plans that cost around $90 from major carriers in many provinces.
As cell phone plans in many Canadian provinces remain pricey, consumers prefer to buy cheaper deals from the booming online black market. Online advertisement sites are filled with deals for phone plans that promise unlimited Canada wide calls, texts and a 5GB data package for only $48 a month.
However, these deals are not sold by the mobile phone provider but rather a third party agent who charges a onetime fee as their commission for selling this cheaper deal. Online site Kijiji in Toronto is one such popular place to buy these black-market deals. Consumers find it much cheaper paying the $48 and an upfront one-time fee rather than $90 a month that Koodo would charge them in a legal deal.
Rogers’ Fido too charges consumers in the same price range; it expects consumers to pay $95 a month in most provinces, while its black-market deal sells for half the price.
So how do the black marketers sell the deals for so much cheaper? The companies only charge $48 a month for the same package in Saskatchewan and Manitoba as the telecom companies face more competition there, rather than the less-competitive Toronto phone market. So these black-market third-party sellers apparently secure the cheaper phone plan out of Saskatchewan or Manitoba and then switch over a customer’s phone number from another province. They charge a onetime fee for this transaction which could range from $40 to $150.
Most experts feel that the high prices of cellular service in most provinces are the reason that the underground business is flourishing. People are always looking for a better deal and do not mind the risks associated with buying deals in the black market, experts said.
Experts also point out that telecom companies could be hesitant to crack down on these plans as it could lead to negative publicity, the debate on expensive phone plans is one that consumers will be happy to bring up.
As long as phone plans remain cheap in Saskatchewan, both the third party dealers and the consumer flocking to them remain happy.
Spokespersons of telecom companies have cautioned customers against using these deals, and that sharing personal information could result in fraud.
Toronto Cell Phone Deals
If you’re looking for other options, whether a Toronto phone deal or for the best cell phone plans in Vancouver, consider looking at websites like whistleout.ca, or planhub.ca. Both these and other websites can give you an easy way to navigate the myriad of available options and compare plans offered by the Canadian carriers.
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