Telstra has today announced it will be offering all its postpaid mobile plans on a contract-free basis, with no excess data charges. The change covers both SIM-only and mobile handset plans for both consumers and small business.
To replace excess fees, all postpaid plans from Telstra now come with unlimited "peace of mind" data, which is data capped at speeds of 1.5Mbps. The "peace of mind" data kicks in if you go over your plan's monthly data allowance. It was previously only included on higher-end Telstra plans.
Speeds of 1.5Mbps are still fast enough to stream Netflix in SD. But note that "peace of mind" data could be slower during peak hours when the Telstra network becomes congested. If you don't want your data to slow down when you go over, you have the option to step your plan up to a higher data tier.
Customers have the option to change their plan once per month, either up or down in data, and new inclusions after a change will kick in immediately.
Here are Telstra's new SIM-only mobile plans:
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Telstra
$84 Essential Upfront SIM Plan
$74.00/mth
Min. cost $74
Link not supplied
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Meanwhile, to make handset plans contract-free, Telstra has taken up the plan model offered by rival Vodafone. That is, if you want to leave your Telstra plan, all you need to do is pay out the remaining value of your handset.
On top of all that, Telstra is offering customers the option to pay off their phone over 24 or 36 months, interest-free, which is certainly handy for anyone looking for a top-tier device with a lower monthly bill. It's worth noting, however, that Vodafone also offers flexible repayments, with the option to pay off a handset over 12, 24 or 36 months.
Telstra says all its phone repayment fees will be based on the device's Recommended Retail Price. However, we note that at the time of writing there are some slight variations between RRPs and device prices quoted on Telstra's website. The iPhone XR 64GB, for example, will cost you $1,248 over 24 or 36 months through Telstra, but $1,229 outright.
Here are Telstra's new plans paired with the popular iPhone XS and the Samsung Galaxy S10, to provide a sense of pricing. Prices shown are to pay off the device over 24 months.
Telstra has ditched it's big daddy $199 mobile handset plan which came with unlimited full-speed data, unlimited international calls to any country, 10GB of roaming data every month and any handset including the massive iPhone XS Max 512GB at no extra cost.
Are the new plans good value?
The new Telstra plans offer similar and sometimes better value than Telstra's previous range. For example, a new iPhone XR 64GB on Telstra's old plans would have cost you a minimum of $120 per month for 3GB of data. It now costs a minimum of $118 for 15GB of data.
An old SIM-only plan from Telstra would have cost you a minimum of $49 per month for 15GB. New plans cost a minimum of $50 per month for 15GB.
All Telstra mobile plans also still come with free access to Telstra Air WiFi hotspots around Australia Fon WiFi hotspots where available overseas. Plans also still come with free access to AFL, AFLW, NRL, Football and Netball live apps, with data-free streaming included. Plans also still come with data-free streaming of Apple Music.
Leases dumped, existing customers can shift
If you're a Telstra customer on an existing contract or lease, you can stick with your current plan until expiry or you can exit early and take up a new month-to-month plan. However, if your contract includes a mobile phone you will have to pay out the remainder of your device before switching.
As part of the new plan shift, Telstra has also ditched mobile phone leases. Instead, all customers with phone handsets on plans will be able to take up Telstra's "New Phone Feeling" offer which allows you to upgrade to a new phone after 12 months by paying a once-off $149 fee. With "New Phone Feeling" you don't have to pay out the remaining value of your device, you simply start a new repayment plan for your new device.
International roaming and international calls now cost extra
Whereas international calls and an amount of international roaming data was once included on Telstra's higher-end plans, these inclusions are now offered as bolt-on extras.
You can add an international calling pack to any postpaid mobile plan for an extra $10 per month. The pack comes with unlimited calls to Canada, China, Germany, Guam, Hong Kong, India, Ireland, Japan, Malaysia, New Zealand, Norway, Puerto Rico, Romania, Singapore, South Korea, Spain, Sweden, US Virgin Islands, USA and the UK. If you want to call a country not on this list, PAYG rates will apply.
If you want to roam overseas with your Telstra plan, you'll need to take up a Telstra International Day Pass, which costs $10 per day in eligible roaming destinations, or $5 per day in New Zealand. For your money you'll get unlimited talk and text and 200MB of roaming data for each day. Inclusions expire at midnight AEST.
However, Telstra Prepaid Max plans do still come with international calls included. These plans come with unlimited calls to Brazil, Canada, China, Germany, Hong Kong, India, Indonesia, Japan, Malaysia, Nepal, New Zealand, Pakistan, Philippines, Singapore, South Africa, South Korea, Thailand, UK, USA and Vietnam.
Jacqui Dent
Editorial Strategist
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