Prepaid cell phone plans are becoming more popular then ever and it has left some people wondering what the advantages are over traditional cell phone service.

While traditional plans may be the best option for some, prepaid plans have advantages for certain types of consumers over their traditional counterparts.

Top Five Differences Between Prepaid and Traditional

1. Not everyone can get a traditional cell phone plan. Most traditional plans will require a credit check and many people have found that even a small blemish on their credit report can prevent them from getting traditional cell phones - unless they have several hundred dollars or more to put down as a deposit.

* Prepaid plans don't require a credit check with most providers so there is no worry about being turned down.

2. Traditional plans require credit cards to pay the monthly bill (usually kept on file for automatic billing). Whether you're uneasy about automated billing - or simply don't have a credit card - prepaid allows you to forgo the need for a credit card to pay for your service.

3. Most traditional cell phone plans require you to sign a contract for one year, two years or even more. If you find the need to cancel on that contract, you could find yourself paying cancellation fees that are hundreds of dollars in cost.

* Since most prepaid providers don't require contracts, you can discontinue service at any time without being penalized.

4. Prepaid cell phone plans allow you to budget and control the amount you spend per month. With prepaid plans, when you run out of money your phone will no longer work until you add more funds to your account - unlike traditional plans who will continue to bill you, usually at extremely high per minute costs.

* Prepaid phones are a great way not to spend more than you had planned or to keep teenagers within a budget.

5. You only pay for the phone when you use it. If you are an infrequent user of cell phone service (for travel or emergencies only), prepaid service will allow you to have a phone for the times you need it without having to pay for a plan each and every month even if you don't use the phone as traditional service providers do.

The Final Word

Prepaid cell phones plans are not meant to replace traditional ones. They were actually created for a different type of user who need an alternate to traditional services.

For a user who uses their cell phone 600 minutes a month during the day, also uses night and weekend minutes features and has good enough credit to get a cell phone and doesn't mind the automated billing each month, prepaid is probably not the way to go.

But if you are like the millions of Americans who does not fit this profile, you could find that prepaid is an inexpensive way for you to obtain and use a cell phone as you need to at a price you can smile about.