Pros and cons of ditching your landline

  • No line rental charge

  • Fewer unwanted sales calls

  • Mobile contracts are cheaper

  • Use free calls online, e.g. Skype

  • You need it for broadband

  • May help credit record

  • It may cost you to cancel

  • No inclusive calls

Can you save money?

It depends how often you use your landline, but getting rid of your home phone gives you one less bill to pay as you are not charged for line rental.

If your landline is part of a broadband bundle, it may cost more to cancel. This is because most providers offer discounts for bundles that include several services.

However, you may be able to get broadband without a phone line.

Why ditch your landline?

If you do not use your home phone, you could cut unnecessary costs by cancelling it. The main benefits of getting rid of your landline are:

  • No line rental charges: Line rental costs around 18 a month, which is a lot to pay if you do not use your home phone. Getting rid of your landline means you do not have to pay this monthly cost.

  • Better deals with mobile contracts: Most mobile contracts include more free calls than landline deals. Free landline calls are often restricted to certain times of day, and do not include calls to mobiles.

  • Fewer unwanted sales calls: Nuisance calls are less common with mobiles than they are with home phones, and they are also easier to block. Here is more about stopping nuisance calls.

  • Enjoy free calls online: Voice over Internet Protocol (VoIP) lets you make free voice calls to other VoIP users via your internet connection, e.g. with Skype. You can also use Apple FaceTime or Facebook video chat to speak for free.

Why keep your landline?

While you could save money by getting rid of your landline, it could end up costing you more to cancel early than to finish your contract. There are also benefits to keeping your landline:

  • You may need it for your broadband: Some companies can only supply broadband over a landline connection. It may also be cheaper to get your broadband as an internet and landline package. Here is more about getting broadband without a phone line.

  • It can help your borrowing power: A landline ties you to a fixed address, so some lenders are more willing to offer a loan, mortgage or credit card if you have one. If you get rid of your landline, registering on the electoral roll shows potential lenders your address is fixed.

  • Calls abroad cost less: If you add international calls to your home phone package, it will cost less than calling abroad from a mobile. You may have to pay extra monthly, but if you have family or friends overseas, this is cheaper than paying the higher rate.

  • Cancelling can be expensive: Some providers charge early cancellation fees if your contract is fixed. You may also be tied into your remaining monthly payments. Check your contract and wait until you can leave without charge.

What should you do next?

Speak to your provider to find out when your contract ends or whether you have to pay an early cancellation fee to leave.

If you are tied in to your remaining monthly line rental payments, you may save more money by waiting until your contract ends to cancel your landline.

If you have your landline as part of a broadband or entertainment package, it may be cheaper to keep your home phone. However, you could still save money by switching provider.

Here are more ways to save money on your landline package.