Free “Phone on Us”? New Data Shows Millions Overpay

A new nationwide study (Harris Poll for Consumer Cellular) finds 27% of U.S. adults accepted a “free” or “on us” phone without fully understanding the commitment—often ending up in multi‑year plans that erase any savings. ^[1]
Among Americans 50+, 79% either have an unlimited data plan or use less data than their plan allows—strongly suggesting widespread overpayment for unused data. Average monthly data use in this group: just over 5GB. ^[2]
Local broadcasters amplified the warning heading into the weekend: KTVI/FOX 2 St. Louis aired a “Contact 2” segment on the pitfalls of “free phone” offers, with the clip distributed online over the last 24 hours. ^[3]

What’s new today (Nov. 8)

Coverage of the study surged into the weekend. FOX 2 St. Louis (KTVI) published a segment explaining why so‑called “free” phones are often anything but free, echoing the study’s central warning and giving actionable tips to viewers. The segment appeared in the station’s latest video lineup and was reposted by Yahoo’s video platform on Friday, keeping the story in front of consumers as they shop this weekend. ^[4]

Industry and business outlets have also summarized the findings this week, underscoring how “free phone” promotions and one‑size‑fits‑all unlimited plans can inflate bills—especially for lighter data users. ^[5]

The numbers behind “free” phone offers—and why many pay more

The Harris Poll survey of 2,052 U.S. adults (Oct. 2–6, 2025) found that temptingly worded promotions often come with strings: elevated plan tiers, multi‑year commitments, and fine‑print requirements that effectively trade up‑front device credits for higher recurring costs. In the sample, 27% said they had accepted a “free” or “on us” phone without understanding the terms; 90% believe most people don’t truly understand the cost/contract details behind such promos. ^[6]

A big contributor to overspending: unlimited plans that far exceed actual use. Among mobile consumers 50 and older, 79% either carry unlimited data or consistently use less data than their plan allows; Consumer Cellular’s internal network data show this group averages just over 5GB/month, far below thresholds that justify pricier unlimited tiers from major carriers. ^[7]

Many don’t comparison‑shop—43% of respondents say they never look for a better plan (that figure climbs to 53% among the 50+ cohort), prolonging overpayment. ^[8]

Method note: The survey was commissioned by Consumer Cellular and conducted online by The Harris Poll; the stated Bayesian credible interval is ±2.5 percentage points at 95% confidence. Sponsorship doesn’t invalidate the results, but it’s important context for readers. ^[9]

How “free” gets expensive: the common gotchas

If you’re eyeing a “$0” phone this weekend, watch for these terms that can quietly lift your total cost of ownership:

Bill credits contingent on service
Device discounts are often issued as monthly credits that vanish if you downgrade, cancel early, or miss payments, leaving you to repay the remaining device balance. ^[10]
Mandatory premium plan tiers
The promo may require a costlier unlimited plan—even if your monthly use is 3–8GB—so the “free” phone is effectively financed through higher service fees. ^[11]
Long commitments & upgrade locks
Multi‑year commitments keep you in place; many consumers never shop once they’re tied to a promo, prolonging overpayment. ^[12]
Trade‑in and activation caveats
Some credits depend on specific trade‑in values, new lines, or activation deadlines; missing any condition can upend the math. (General practice across carrier promotions; the study highlights confusion about these requirements.) ^[13]

What today’s coverage is emphasizing

Local TV consumer desks are reiterating, in plain language, that “free phone” deals often require more expensive service or longer commitments, and they’re pointing viewers to tools that reveal actual usage—especially timely as holiday phone deals roll out. ^[14]
Trade press summaries this week echoed the 50+ data‑use gap and the habit of not price‑shopping as key drivers of overspending. ^[15]

Quick self‑audit: are you overpaying?

Time needed: ~5 minutes

Check your last 3 months of data use

iPhone: Settings → Cellular/Mobile Data → Current Period (reset monthly or cross‑check with carrier app).
Android: Settings → Network & internet → SIMs/Data usage (naming varies by phone).
If your average use is under ~8–10GB/month, a mid‑tier or “pay for what you use” plan could be more economical than premium unlimited. (The study’s 50+ average is just ~5GB/month.) ^[16]

Price‑compare against today’s deals
Independent roundups show MVNO plans routinely undercut big‑carrier pricing—helpful benchmarks while you shop. ^[17]
Run the “free phone” math
Add: (required monthly plan price × commitment months) – (any bill credits) + (activation/upgrade fees). Compare to a BYOD plan or buying the device outright and choosing a lower‑cost service. The study warns many people don’t do this calculation up front. ^[18]
Calendar a yearly plan check‑up
A once‑a‑year review can unlock savings—43% never shop; don’t be in that group. ^[19]

Real‑world example (illustrative)

You use ~5GB/month and pay $75 (after taxes/fees) for a premium unlimited line to get a “$0” phone.
A comparable BYOD or light‑use plan might land in the $25–$35 range (varies by network/MVNO and promos). Even a conservative $35 switch could save ~$480/year without the hidden strings, assuming your usage stays low. (Benchmarks from independent deal trackers; your price and coverage needs may vary.) ^[20]

What to watch for next

Holiday promos will intensify: expect more aggressive “on us” devices tied to top‑tier unlimited and multi‑line requirements. The safest move is to separate the phone decision from the plan decision, then recombine only if the total cost beats the BYOD + lower‑tier plan math. (General best practice reinforced by this week’s coverage.) ^[21]

Study details & caveats

Who fielded it? The Harris Poll; sponsor: Consumer Cellular.
When? Oct. 2–6, 2025; n = 2,052 adults; credible interval ±2.5 percentage points (95%); weighted to be nationally representative.
Notable findings:
- 27% accepted a “free/on us” phone without understanding terms.
- 90% think most people don’t understand the true costs.
- 79% (50+) have unlimited or underuse their data allowance; avg. 50+ usage ~5GB/month.
- 43% never shop for a better plan (rising to 53% among 50+). ^[22]

Why it matters today: With fresh local TV segments circulating and holiday promotions ramping up, Nov. 8, 2025 is an ideal moment to check your usage and re‑run the numbers before you sign a “free” phone deal that could cost more over time. ^[23]

Sources

Consumer Cellular/Harris Poll press release (Nov. 3, 2025): methodology and key statistics (27%, 79%, 5GB, 43%). ^[24]
Yahoo Finance posting of the release (Nov. 3, 2025). ^[25]
KTVI/FOX 2 St. Louis segment circulating Nov. 7–8, 2025. ^[26]
Vision Monday roundup of the study’s consumer implications (Nov. 4, 2025). ^[27]
Clark.com November 2025 cell‑plan deal benchmarks (for price‑comparison context). ^[28]

56% Overpay For Unlimited Data!

Watch this video on YouTube.

References

Free “Phone on Us”? New Data Shows Millions Overpay—What to Check on Nov. 8, 2025