My contract for mobile phone service expired, and my phone is getting old too, so recently I looked into my options.
I had been on KT’s Data Choice 43.8 (데이터선택43.8) plan, and with a one-year contract I was getting a 25% discount. I was paying about 33 000 won per month which gave me unlimited minutes and messages, and three gigabytes of data. It also ‘allowed’ me to collect points in the KT Membership program and use them to get various discounts.
Thing is, I rarely took advantage of the discounts. I was bad at remembering when and where to present my KT Membership card or barcode. The exception is Baskin Robbins where I occasionally collected on a discounted pint, available monthly.
I did frequently use up the data allowance, but for some reason I could always get more by registering a coupon on the My KT (마이 케이티) app. I guess they want to make long-term customers feel like they are getting something extra/free.
Compared to what many Koreans pay, 33 000 won per month is not high. My friend has a 69 000 won per month contract with KT. She receives a 25% discount for being post-initial contract and having her own phone. She also gets a family member discount because her mother uses KT internet at home. At the end of the day, she pays 42 150 won per month for unlimited data and for a special level of the points/discounts program called ‘KT VIP’. That gives her things like a movie ticket or a Starbucks coffee six times a year.
Other people are paying for their phones in monthly installments alongside service charges. Of course, that leads to much higher monthly bills, especially in the first six months. How about that? Is there some benefit to buying a phone and paying for it alongside your service charges?
It depends on the phone. The Korean telecoms (SKT, KT, and LG U+) pick certain phones to support with government approval. For example, they supported the iPhone 13 and to a lesser degree, the iPhone 13 Pro. Buying an iPhone this way means that your bill will be high for six months before it drops somewhat for the remaining 18 months of the contract. What you pay above a basic contract means that yes, you are getting a decent price on an iPhone.
But. By paying that monthly fee, even the 33 000 I was paying, you’re effectively paying toward a phone anyway because unless you’re taking full advantage of the services they’re giving you, you’re paying more than you need to.
Okay, what’s another option? If, like me, you’re not into the membership points and discount system, there’s altteul (알뜰).
Each of the big telecoms has an altteul version. I went with LG U+ Altteul, and I chose a post-pay plan that gives me seven gigabytes of data and unlimited calling and texts. If I use the seven gigabytes up, I can still use data at a slower speed. The price is 17 300 won per month. It’s called 통화마음껏 데이터 7GB+. You can see there are cheaper versions with less data.
What’s more, by getting a new Samsung U+ Altteul credit card, I get a monthly discount on my phone bill of up to 20 000 won. It just requires that I spend more than 700 000 won per month, which I always do.
I’m paying nothing for my mobile phone service. With those savings, I’ll buy my next phone independently, either new or secondhand.