Consumer United launches online wireless store

Consumer United, an online membership-driven consumer group that offers savings on basic services such as heating oil and home insurance, has teamed up with Simplexity, the Internet’s leading authorized retailer of cellphones and service plans, and launched Consumer United Wireless, a new online store for cellphones, services and accessories.

Built and managed by Simplexity, this new one-stop shopping destination here features hundreds of the latest wireless devices, including BlackBerry and Android-powered smartphones.

Consumer United Wireless features exclusive online savings on wireless devices -up to hundreds of dollars less than retail stores--from top handset manufacturers including BlackBerry, HTC, LG, Motorola and Samsung and every major U.S. carrier.

Now, members have the convenience and opportunity to research, compare and shop for cellphones on a new optimized website from the comfort of their own home. They can quickly and easily explore the extensive catalog of cell phones and view unbiased information on the latest Android-powered smartphones, BlackBerry devices and PDAs from every major U.S carrier.

Utilizing Simplexity’s fully integrated e-commerce platform, Consumer United members can quickly and easily shop for the latest cellphones either by manufacturer, service provider or rate plan. They also have the ability to upgrade their current phones, transfer service-and phone numbers- to new carriers, or add new lines to an existing family plan.

It's a good time for members to buy or renew your cellphone or wireless plan through Consumer United. Start shopping here and take advantage of huge savings, convenience and greater selections.

Click here for Consumer United Wireless.

MagicJack femtocell boasts free cellphone service

Looking to cut the cord? MagicJack, the device that promises dirt cheap long-distance calls by creating a way to hookup landline phones into Internet-connected computers, is set to release an updated femtocell gizmo that will do the same trick for cellphones, conserving costly monthly minutes.

The Florida-based magicJack crew unveiled the new gadget, nicknamed the "femtojack" by technophiles, at the International Consumer Electronics Show in Las Vegas earlier this month.

The company charges $40 for the magicJack and includes one free year of service, then charges $20 per year for subsequent years. That covers calls to other magicJack users as well as to conventional phones. The pricing will remain the same for the new femtocell.

While cost-conscious consumers are jumping for joy, the news is raising a few eyebrows in the telecommunications world. The device piggybacks on the radio frequencies that wireless service providers pay billions to use.

A femtocell, sometimes called a “home base station” or “small cellular base station,” is a telecommunications term describing a "wireless landline" hub used in small business that connects a service provider’s network (such as cable or DSL) with two to five cellular phones ideal for residential or small-office environments.

Operating the card-sized device is simple, but has limitations. Consumers register their cellphone number one time with magicJack after plugging the device into the USB terminal on their computer. To tap into the subscription-based service, cellphone users must be within eight feet of the magicJack.

This home-only caveat is how the "femtojack" is able to avoid potential legal scrutiny. MagicJack plugs into the wireless spectrum legally because licenses don't extend into the home.

Click here for the lowdown.

Survey finds cellphone service less than stellar

A survey conducted by Consumer Reports for its January 2010 issue finds that despite "smarter phones," more flexible plans and faster wireless networks, cellphone service continues to be among the lower-rated of all the services the watchdog group evaluates.

Responses from more than 50,000 readers based in 26 U.S. cities showed that two-thirds of respondents had at least one major complaint with one in five readers citing high prices as their top concern.

"America is in love with the cellphone, but they are lukewarm about cellphone service," says Paul Reynolds, electronics editor at Consumer Reports. "They're especially concerned about its cost in these tight economic times."

The survey ranks Verizon as consumers' favorite wireless carrier, applauding the service provider for its customer service, voice connectivity and network reach. However, respondents had issue with Verizon's high cost.

On the other hand, T-Mobile ranked second in the report for its cost-efficient value but had less-than-stellar marks for messaging, web and e-mail services. Sprint and AT&T tied for the bottom slot scoring low in customer service and voice connectivity respectively.

More than one-fourth of respondents say they opted for a service provider based on the carrier for a specific phone, with Apple iPhone leading the way winning over a staggering 98 percent adding that they would buy the phone again despite the below-par ratings for its exclusive service carrier AT&T.

The survey explores the buzz surrounding prepaid phones revealing that the non-contract option is actually cheaper than traditional cellphone service billed on a monthly basis. For example, prepaid phones often costs $25 or less per month compared to $50 to $100 carrier fees for contract customers.

Out of those surveyed with prepaid phones, TracFone scored the highest in customer satisfaction with T-Mobile, Verizon and Virgin Mobile not far behind.

Looking for a cost-efficient prepaid phone? Consumer United has teamed up with TracFone's Straight Talk service which offers unlimited talk and text for only $45 a month or $30 for 1000 minutes/texts, 30 MB (about 300 pages) of mobile web access and free 411 calls.

Click here to learn more.

Additional tips to save on cellphone bills

Wireless service providers make their money when customers decide to sign a long-term contract for far more minutes and services than you are likely to need.

You can often only get out of this agreement by paying an expensive cancellation fee. If you're shopping around for a new service or considering re-signing your contract, think about switching to a prepaid plan. By avoiding the commitment of a two-year plan, you have the option of signing up for a more limited plan then expanding your services if you find you need to do so. You can ignore the high-pressure sales tactics that cost customers a lot when they know they're making a decision that could follow them for two years.

Don't be afraid to buy a bundle of what you actually use, however, because a la carte minutes, messages, and megabytes can be very costly. Most carriers charge only $3-$5 for a few hundred extra text messages that could cost as much as $0.20 each if you had to buy them individually. If you think you need to purchase add-ons for more than one service, you may want to consider upgrading your plan. Some unlimited prepaid plans offered by Boost or MetroPCS have the potential to save seriously talkers a significant amount of money each month.

Another easy way to cut your monthly bill is to find out whether you're paying for costly handset or other insurance. Customers sometimes agree to pay for this insurance when they first sign their contracts and it seems like a good idea to protect the phone they have just purchased. After a few months, previously owned versions of the very same phones tend to be available at a low cost. If you save your old phone as a backup, cancel the insurance and save the difference, you should be well prepared in the event of an accident.

--Bridget O'Sullivan