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Sep
24
2012

Is VONAGE really saves your money for calling to India? Here are some alternative options…

Alternative to VONAGE phone serviceA lot of people living in US from abroad such as India tempted to buy Vonage phone service. The obvious reason is unlimited calling facility to their home countries. It may sound like a good deal for you when you have a heavy calling requirement like more than 60 minutes average/day (1800 minutes/month) to save your money.

However such a heavy usage not necessarily applies to everyone. Especially for working families they get most free time only during weekends. Even if they spend like 2-3 hours over weekends by the end of month it would be close to 10 hours (600 minutes) or less.

If you take account into all the taxes and fee vonage adds (their advertising price $9.99/month will not be even close when you check the bill after 3 months), you will notice that your actual bill will be about $35 (i guess slightly varies by few $ state to state).

Now here are some alternative options.

 

Option 1 -You must be already paying your cell phone bills for unlimited calling. Now consider buying a calling card service such as IndiaLD or Phone India. On average you will be paying $ 1c/min from these services. So for 600 minutes you will pay $6. Considering you are already paying for unlimited local calls you can’t consider it to be an added expense. So in this case you are paying only $6 a month and you save $29 compare to vonage.

Even if you have a super heavy usage like 60 minutes a day (~1800 minutes) a month, through these calling card services you will pay only about $20. Now compare again, you will save $15/month still compare to $35/month from vonage.

 

Option 2 -You still love to own a fixed phoneline at home. Then you can consider some other VOIP service like magicjack as well. Magicjack does not add any indirect fee or taxes (it’s a prepay system). It will cost you about only $1.67/month if you buy the service for long term ($100 for 5 years). Additional tip – You can talk to customer care and get an offer for only $75/5 years magicjack service. However you will still be required to use the international calling card service such as IndiaLD or PhoneIndia.

Even if you consider the heavy usage scenario again, you will notice that $1.67 + $20 a month will account only about ~$22. No hidden fee, taxes etc. It still saves about $13 a month. If your usage is light (10 hours or 600 minutes) then it will save even more money.

More over with the option 1 and 2 above, you don’t need to get into any contracts. Vonage sign-up requires 1-year contract (Not sure about early termination fee though).

Finally, bundling your home phone with your internet/cable provider is anyway a total crap idea when you have so many money saving options.

So the moral of this post is, you are not required follow everyone around you blindly. Do some real research. It’s your hard earned money after all!

 

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5 comments

  1. satish says:

    thanks..!! Really helpful..!!

    1. electron says:

      You are welcome!

      1. Kapil says:

        Hi

        just give me a siggestion

        I want to call from my smart phone to India from USA but I dont have mobile connection but I have interneet connection and my mobile is connected thru internet by wifi.

  2. Ravi says:

    much appreciated.. thanks for the post

  3. Nikhil Pawar says:

    nice alternatives and also I have one that is http://www.direct2nation.com/
    Try it.

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