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telephoneold.jpgIn today's economy we are all looking for ways to save money. Sometimes technology adds to our monthly bills, but in some areas, technology can really cut down our monthly bills. One of the best examples of this is with telephone costs.



telephoneold.jpgMany of us remember when we all paid a monthly fee to the telephone company for our landline and paid exorbitant rates for long distance service. If you had friends or relatives living far away, those monthly bills could really add up. You may even remember that when a call from afar would come in, the person who answered the phone would promptly announce that the call was "long distance" and the recipient of the call would rush over to the phone so the connection time would be kept as short as possible.

Thankfully, all of that is in the past. Technology has brought us many ways to keep in touch with friends, family, and business associates around the world quite inexpensively.

There are actually two different technologies that have greatly impacted our telephone-type communications. First is the emergence of cell phones. Today most of us are using cell phones for everyday communications. Since cell phones work on "minutes" rather than distance, you can basically call anywhere is the US more economically than you can with the old "long distance" service that the telephone companies provide. Each cell phone company offers somewhat unique features, but all are money-savers. For instance, some carriers allow you to call anyone else on that carrier at no charge. Some have special evening and weekend rates. Some allow you to list up to ten telephone numbers that you can call at any time with no charge.

Cell phone charges are generally much more expensive when you want to call overseas, but there is a great technological solution for that too. It is the second technology that has greatly impacted telephone-type communications. It is called VoIP, which stands for Voice Over Internet Protocol. VoIP uses the Internet to make telephone calls. Most of the major telephone and cable companies now offer some sort of "Internet" calling packages. Other companies like Vonage and Net2Phone have made a splash in this industry.

VoIP allows you to use your broadband Internet connection to make phone calls. VoIP service through a major carrier often offers additional features that you not generally offered through a regular telephone service plan. With a VoIP plan from a telephone or cable company you can often get voicemail, call forwarding, caller ID, and 3-way conference calling at no extra cost. Some VoIP providers also offer online account management, online voice mail, detailed call logging, and call-forwarding.

You can also use VoIP with any "telephone-type" company involved. You simply use your computer to make calls. Skype is one of the most popular services of this type. And the price is right. Making Skype calls from computer to computer is totally free. If you hook up two computers that have webcams, you can make video calls where you can see and talk with someone at the same time. You can also call from your computer to landlines and mobile numbers in the US and Canada for $2.99 a month. If you don't want to be tied to the computer, you can purchase a Skype telephone that uses your computer to call, while you talk on a traditional-type telephone handset. You can also access Skype from many mobile phones. This lets you to place calls without adding to your minutes. There are many Skype competitors like GoogleTalk, Yahoo Messenger, and iCall.
There are also other unique VoIP solutions. You may have seen magicJack advertised on late night TV. It is a small device that plugs into the USB port on your computer. With magicJack you get your own telephone number. You can make calls right from the computer screen or you can attach a regular telephone to the device and use it to make free phone calls in the US and Canada. I have a set of wireless phones attached to the magicJack that allows me to make and receive calls anywhere in the house. If a friend or relative also has a magicJack, you can make free calls to them even if they are one the other side of the world. magicJack costs about $40 for the device and first year of service and $20 a year for service after that. It's pretty useful and inexpensive.

By the way, if you have a land-line telephone number that you want to keep, you can move it (port it) over to a mobile phone. magicJack says that starting this August you will also be able to use your old telephone number with the magicJack, as well. So you don't even have to give up your old number to use the new technologies.

Whether you use a cell phone or a VoIP solution, you should realize that VoIP call may not be perfect. Cell phones sometimes drop calls and have areas where you can get service. Services like magicJack and Skype are dependent on your broadband Internet connection. So if you connection speed is good, the call will be excellent, but if your Internet slows down, you may get a poorer call quality. Yet, both of these solutions will save you money and you may find, like me that occasional slight inconvenience is worth the cost savings. I gave up both my business and personal land line almost two years ago. I now rely on my cell phones, Skype, and magicJack. I am saving a bundle and enjoying every minute.