Assuming I have read these vodacom offers correctly. I can pay R5489 cash upfront or R264pm for the 1st iPhone 4S deal. If I finance that cash price on budget on a credit card (FNB Silver, 18%), the amount paid is R274.03. on a business contract the contract is about R60 cheaper. And on say a Talk500, the phone is free so the calculation becomes difficult. The drawback/pro with the credit card is that interest rates can move. so you might win or lose.I've always used the contract to subsidise a new handset every two years.
but i can honestly say that i am spending far less on my phone bills (probably R100 plus) since moving to prepaid. And I also am not losing airtime as its rollover period ends. and i was on a 100 or 120 contract with mtn. and this is why on business and high value packages they can give you the phone at a greater discount/free. because on average, customers will be losing rollover minutes that make up for the subsidised cost of the phone and more.
when i switched from contract to prepaid at the end of last year, there wasn't a single contract package that met my needs which was cheaper than prepaid.Aren't airtime rates more expensive than contract rates?
in short, i think contracts are ripping us off. especially seeing as i haven't heard of downward adjustments since the 6 or so months since i moved from contract to prepaid.
edit - for the more finance types, my calcs are here - http://www.4shared.com/office/ghxrh4...v_Monthly.html
edit 2 - bump that 18% to 20% on the credit card, then the contracts are R16 and R66 cheaper (R29 and R69 if you use 25%).