How To Get a Phone Plan Even if You Have Bad Credit

Having reliable phone service is crucial for staying connected with friends and family, managing work and personal life, and accessing essential services. Unfortunately, it can be difficult for people with bad credit to secure an affordable and dependable phone plan. There are options, however, that don’t require a credit check. These plans provide a way for those with less-than-perfect credit to stay connected. With an online search, you can find many phone service providers offering plans and deals right now.

Phone Plans for People With Bad Credit

Bad credit refers to a person’s poor credit history, which can be the result of missed or late payments on loans, credit cards, or other financial obligations. Since some phone service providers require credit checks, it can make it difficult for individuals with bad credit to secure phone plans.1


Fortunately, some providers in Australia offer affordable phone plans specifically designed for people with bad credit, allowing them to stay connected without breaking the bank. For instance, there are two common options for people with poor credit — prepaid phone plans and no-contract plans.

  • Prepaid phone plans: One of the most common options for people with bad credit is a prepaid phone plan. With a prepaid plan, users pay upfront for their phone service, eliminating the need for a credit check or signing a long-term contract. This means that even those with poor credit history can access affordable and reliable phone service.2
  • No-contract plans: Another option is to opt for a no-contract, month-to-month phone plan. These plans don’t require a long-term commitment and often don’t require a credit check. While these plans are similar to prepaid plans, no-contract plans can be a tool for those looking to rebuild their credit while maintaining consistent phone service.3

Choosing the Right Provider for Your Needs

Not all phone providers offer plans for people with bad credit, so it’s essential to research and compare your options. Some Australian providers specialize in offering phone plans for those with bad credit, while others have flexible credit requirements that may work.

Look for providers with transparent pricing, no hidden fees, and plans that offer the features you need, such as unlimited calls and texts. Some of the top phone service providers for people with bad credit in Australia include Lebara, ALDImobile, and Moose Mobile.4

Budget-Friendly Features To Keep in Mind

When selecting a phone plan, it’s important to find one that meets your needs without exceeding your budget. Here are some budget-friendly features to consider when searching for a phone plan.

  • Unlimited calls and texts: You may want to look for plans that include unlimited calls and texts to avoid unexpected charges.
  • Data allowances: Choose a plan with a data allowance that suits your needs, whether it’s a small amount for occasional use or a larger allowance for regular browsing and streaming.
  • International calling options: If you need to make international calls, then it makes sense to look for a plan with affordable rates or includes international calling minutes.
  • BYO phone: You may be able to save money by bringing your own phone to a new plan instead of purchasing a new one.

Strategies for Rebuilding Credit

While securing a phone plan with bad credit is possible, it’s also wise to work on rebuilding your credit. Here are some steps to help improve your credit score in the future.

  • Pay your bills on time: Make sure to pay all your bills, including your phone plan, on time to demonstrate your financial responsibility.
  • Limit your credit applications: Each time you apply for new credit, it can negatively impact your credit score. Limit your applications and only apply for credit when necessary.
  • Monitor your credit report: Regularly review your credit report to ensure there are no errors or inaccuracies. If you find any, then contact the credit reporting agency to have them corrected.
  • Create a budget: Developing and sticking to a budget can help you manage your finances more effectively and prevent missed payments.5

Staying Connected With the Right Phone Plan

Reliable phone service is essential in today’s world, and having bad credit should not prevent you from staying connected. By exploring options like prepaid plans and no-contract plans and choosing the right provider, people with bad credit can access affordable and dependable phone service in Australia.

Additionally, focusing on budget-friendly features and actively working to rebuild your credit can help put you on the path to better financial health and even more phone plan options in the future. Stay connected and take control of your finances with a phone plan that suits your needs and budget.