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Optus, Vodafone, Telstra customers: Your loyalty is costing you ‘hundreds’

Australia’s major three telcos: Vodafone, Optus, and Telstra. (Source: Getty)

Three in four Aussies have a mobile plan with one of the three big telcos – but you could be ripping yourself off by sticking with them.

Only one in three would swap to a smaller provider if they found a better deal, and 32 per cent think they’re on a great deal already.

But in such a competitive market, failing to look at options is costing Aussies in ‘loyalty tax’, said Finder.com.au tech expert Alex Kidman.

“There’s plenty of smaller telcos to choose from, all aggressively fighting for a piece of the pie,” said Kidman.

“It’s a big win for consumers because plans are becoming cheaper and providing better value.

“If your contract has ended but you’re happy to keep the same phone, it’s vital that you check the deals that are out there. Switching to a different provider could easily save you hundreds of dollars.”

People are sticking with big telcos as brand reputation still counts for a lot, according to Finder.

“What many people don’t realise is all telcos are using one of the big three networks,” Kidman pointed out.

“So a provider you might not have heard of would still be running on Telstra, Optus or Vodafone.”

It means that your service coverage won’t be affected with a smaller provider since they’re running off the same network anyway, he said.

These are the smaller providers that piggyback off the major telco networks:

Telstra

  • ALDIMobile
  • Belong Mobile
  • Boost
  • Woolworths
  • Lycamobile

Optus

  • Amaysim
  • Coles Mobile
  • Dodo
  • Moose Mobile
  • OVO

Vodafone

  • Hello Mobile
  • Kogan Mobile
  • LebaraThink Mobile
  • TPG

Finder’s tips on how to pick a mobile phone plan

1. Check your data usage. Don’t pay for data you’re not using – pick a plan that suits your browsing or streaming needs.

2. Consider buying outright. It’s more costly to buy a phone outright, but you’re able to, consider it. “SIM-only plans can often come in cheaper, and if you opt for month-to-month you get the added flexibility of being able to switch as soon as you come across a better deal,” according to Finder.

3. Don’t dismiss smaller providers. There are more telcos in the market, meaning more competition – and lower prices. If you’re thinking of switching, look wider than just the big three, as you could spot a better plan with more data and extras.

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