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Will Free Phones Last?


There cannot be a solid ‘yes’ or ‘no’ to this question. The recession has taken its toll on our country and we’re not in the clear yet. It seems projections for the next two years are only going to get worse. This is bad news for government programs who provide free services.

The United States total spending for the year of 2012 is an incredible $3.3 trillion. As mentioned before, it’s only going to get worse. Spending costs are predicted to increase, slowly but surely, in our future. The year of 2013 is projected at $3.4 trillion and $3.5 trillion by 2014.

The infuriating part about this government spending is the big question, “Where is all this money going?” Many believe our government is spending to fix our current economic trend, but with the numbers showing millions being spent simply on campaigns for the past election and current projections for the next few years, we’ve started to give up hope.


Our nation’s debt is another area of great concern. As we delve deeper into this subject, we realize, we don’t owe foreign countries trillions of dollars, no, we owe ourselves. Maybe we need to start thinking of changing the way we operate?

Many Americans theorize we are in debt to China and other foreign countries. The surprising truth is, the US debt to China only adds up to 8% of the entire US debt percentage. I guess we can start debunking those Chinese conspiracy theories.

Yes, most of the US debt is owed to their own programs and policies. Just under $5 trillion dollars of debt is owed to the US Social Security Trust Fund. The rest of the money is owed to investors, both domestic and foreign, as well as the Federal Reserve.

If unemployment, debt and government spending keeps increasing, it doesn’t seem like there will be room in the budget for free phones. Not to mention other programs that provide even more crucial, no cost benefits like food for kid’s lunches and shelter for homeless families.

Lifeline

Lifeline is one of the government placed programs designed to be able to provide free cell phones and services plans to low income families. The program’s simple mission is to spread hope, opportunity and communication.

Lifeline began in 1985. The program then only offered government subsidized landlines for families in need. In 2005, Lifeline introduced free cell phones to the program and now offers an abundance of cell phone models, service plans and service providers to choose from.

To apply for these phones you must receive assistance from one of the government programs listed below. If you do not receive assistance from any of the listed programs, your monthly income must be 135% below the national poverty line. Requirements and assistance programs vary by state.

These are the general government assistance programs an individual must be a member of to qualify for help from Lifeline, however as mentioned before, requirements vary by state.

  • Medicaid
  • Supplemental Nutrition Assistance Program (Food Stamps or SNAP).
  • Supplemental Security Income (SSI).
  • Federal Public Housing Assistance (Section 8).
  • Low-Income Home Energy Assistance Program (LIHEAP).
  • Temporary Assistance to Needy Families (TANF).
  • The National School Lunch Program’s Free Lunch Program.
  • Other assistance programs in your state.

Lifeline funds

Lifeline is funded by the Universal Service Fund. This fund is controlled and regulated by the FCC to make sure all participants are eligible. The fund collects its money from a mandatory fee placed on different major telecommunication providers across the country.

Now, these phone companies may seem like they’re the ones paying the Universal Service Fund for these free phones, but guess where the phone companies get the money from? Their customers! Those who receive a phone bill now have an added tax at the bottom of the page titled: Universal Service Charge.

This charge has phone bill payers in an uproar. They feel betrayed and irritated that they are the ones providing free cell phones to the nation, when they have to pay astronomical amounts for their own service.

Lifeline’s life expectancy

The Lifeline program seems to be going strong. It provides millions of low income individuals and families with cell phone connection everyday. Having a cell phone promotes the health, opportunity and well-being of each of these families.

Although this program seems to be truly helping the lower income bracket of our nation, there’s no guarantee this program will still be around in two of three years. With projections, spending, debt, unemployment and taxpayer irritation, there’s no knowing how long Lifeline can hold out.

Get ‘em while they’re hot

No one can ever predict the future, but we can guess and estimate based on the present. Presently, Lifeline is going strong so the best time to get your free cell phone is now. Signs point to a positive future for Lifeline, but no one can be sure.

There are many providers to choose from if you are eligible for Lifeline. The government program’s reliable providers make sure you get only the best of the best service, cell phone models and customer satisfaction.

Provider Review

Listed below are some of the many service providers under the Lifeline program.

Safelink Wireless

For the tech-savvy wonder kid in your life, suggest Safelink Wireless. This provider has flexible service plans, a great selection of phone models and easy plan upgrade services. There is also an unlimited plan available for those that want no restrictions

Assurance Wireless

Assurance Wireless is all about convenience for their customers. The plan strives to set its customers up with plenty of information to completely understand the application process and the service plan. With research comes knowledge and with knowledge comes growth.

Reachout Wireless

For those new to the free phone scene or older adults who are eligible for a free phone, Reachout Wireless is the best plan. Their plan is simple, thoroughly explained and has many features to guide their customers through the entire free phone process.

Budget Mobile

Budget Mobile does the legwork for you. Just like every other Lifeline service provider, new customers need proof documents to show they are indeed receiving help from a government assistance program or that their monthly income is 135% lower than the US poverty line.

Budget Mobile will search these proof documents for you, without you having to seek out government offices and waiting for the documents to process or rummaging through your own files to find just the right proof document to submit. Budget Mobile takes care of it all for their customers.


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Major Free Government Cell Phone Companies


Lifeline began in ‘85 by providing government subsidized reduced cost landline phones. In 2005 it adopted free cell phones into the program and in the future may possibly include free broadband internet for eligible customers.

Check your monthly income, because if it’s low enough, you may qualify for a free Lifeline phone. If your monthly income is 135% below the national poverty line or your receive assistance from a government program such as Social Security, SNAP or welfare you meet Lifeline’s requirements.

Due to this incredible government-made opportunity, many try to fake their qualifications. Those interested in Lifeline must be able to provide proof documents with authenticize their membership in a government assistance program or that their monthly income is at or below 135% of the nation’s poverty line.

Each state will have different Lifeline requirements and service providers. Be sure to research your state’s providers and requirements to see if you can receive assistance from Lifeline.


Safelink Wireless

Just like every other Lifeline provider, Safelink Wireless service plan provides completely cost free service. You don’t have to worry about a credit check, contract or phone bill to bring you anxiety.

Two-hundred and fifty free minutes are automatically uploaded to your phone and you receive a replenishment of minutes the first of every month. If you think your lifestyle requires more minutes or texts, no problem! More minutes and texts can be added to any plan for a fee. Safelink Wireless wants to be sure their customers have the phone service that fits their lifestyle best.

Proof documents are necessary to ensure that everyone that applies to Lifeline is actually in need of assistance. Safelink Wireless is definitely one of the easier service providers to submit proof documents to. An intuitive upload bar is available right on their website, so you never have to leave your home.

Safelink Wireless allows the capability to check, change or upgrade their plan whenever they see fit. Your service plan is always right at your fingertips, with just a few clicks you can access your service plan anytime, anywhere.

Safelink Wireless customers like having full control of their plan and service. When an individual is reviewing their service plan and they feel they are not getting the best service to fit their lifestyle, service representatives are available 24 hours, day or night, to solve any customer problems or questions.

Assurance Wireless

Assurance Wireless makes sure to offer its eligible customers the utmost care and convenience available. There are so many great Assurance Wireless phone models to choose from. Another great convenience Assurance Wireless offers is an abundance of information.

There are numerous articles available to help Assurance Wireless customers learn more about their plan. These articles include; a cell phone service plan program description, the program application process, checking the availability of service plans and cell phone models, frequently asked questions and your own personal availability status to enter the program.

Assurance Wireless has plenty of satisfied customers. Their testimonials provide insight into the Assurance Wireless program. These testimonials act as a statement of authenticity and success of the program. Assurance Wireless provides specially trained service agents to answer questions about your plan or cell phone.

Customer service is this provider’s number one concern. It centralizes on efficiency, customer convenience and customer service. Assurance Wireless wants to be sure their eligible patrons are as happy with their phone plan, as Assurance Wireless is with them.

Budget Mobile

Budget Mobile offers great easy ways to help its customers not only understand the application process for a free cell phone but also makes it easy to apply. Click the “Support” option on the BUdget Mobile site to see how Budget Mobile works for you.

Under the Budget Mobile support link, you will find this service provider will request proof documents for you to show evidence that you are eligible to apply for the Lifeline program and receive a free cell phone. Instead of rummaging through your files or going to a government office for the document, Budget Mobile asks for the proof documents for you.

Budget Mobile wants its customers to feel as comfortable as they can be with their cell phone plan. They offer web-based minute reload, a website full of information for those who have questions and a toll free helpline to speak with a Budget Mobile representative.

Reachout Wireless

Reachout Wireless utilizes an easy to follow recipe approach to its service plan and website. When reviewing your service plan and have a question, live support is only a click away. Want to talk to a human being instead of a robot? Click the big blue button in the right hand corner and ask your question to a person.

Another great feature about the Reachout Wireless website is its helpful guidance tutorial. If you are a new member with Reachout Wireless, they want to make sure you understand the program and will teach you how to navigate their website.

Reachout Wireless allows its customer’s unused minutes to “roll over” to the next month. This roll over feature is perfect for avid texters or for those who don’t have a phone for constant chatting but simply for emergencies.

With all of these fantastic providers, you simply can’t go wrong. Review your state’s Lifeline requirements and get your free phone today!

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Cell Phone Discount for Low Income Families


Due to the recent global economic meltdown, Americans all over the country have been faced with some of the toughest and most heartbreaking issues. People have lost their jobs, their homes, their business, and for some people even their hope. It is imperative now, more than ever to take a look at your costs and start cutting them. Everyday necessities such as food, healthcare, and housing can be provided for people who qualify for government assistance.  Did you know, that there is a program out there designated to help people with their cell phone bill? This is great news, because having a cell phone is no longer a luxury, it has become a modern age necessity. Staying in touch with family members is great, but in the event of an emergency the ability to contact help may save yours or someone else’s life.

Universal Service Administrative Company administers a program called Lifeline which provides people with discounts on their cell phone bill. With Lifeline, you can save as little as ten dollars per month but as an average it will save you around $13.50 every month. This discount will add up, for those who qualify, this program can save you at least 120 dollars a year! That’s incredible! Not every day someone comes up to you with a plan that can directly save you money. The best possible outcome from using this program, aside from saving you money, will provide you with minutes each month that you can use as well as a free cell phone.

Now you may be wondering, how do I know if I qualify? It is really quite simple. If your total household doesn’t go over 135% of the Federal Poverty Guidelines, you’re qualified! People who already receive some form of government assistance are prequalified as well. Assistance services such as Food Stamps, Supplemental Security Income, Temporary Assistance to Needy Families, Low-Income Home Energy Assistance Program, Federal Public Housing Assistance, Medicaid, or the National School Lunch Program’s Free Lunch Program are all assistance services that will prequalify you for this exciting program.

If you are new to government assistance, don’t feel poorly about yourself. Nationally, unemployment rates have been up for the past few years with some industries seriously going under. The real estate market and the car industry took a huge hit. This affected thousands upon thousands of hard working Americans and also turned them into first time users of government assistance. If you’re like me, you have been directly affected by the economic flop. The house which I grew up in and was still residing in at the time had gotten foreclosed on. My father lost his job and had to declare bankruptcy. If government aid was not there to lend a helping hand when our family needed it most, I probably would have had to drop out of college and go to work full time to help put food on our table. To get to the point, assistance is there if you need it and don’t be afraid to apply.

The first thought that commonly comes to mind when thinking of applying for government aid is waiting in a long line and getting nowhere fast. Lucky for you, this program is completely stress-free and quick. It is as simple as calling your current cell phone service provider and asking them to put you on the Lifeline program. If you don’t currently have cell phone service and access to the internet is easier for you, you can navigate yourself to www.SafeLinkWireless.com. This excellent website has answers to most any question you can think of. Once on this website, you can choose to enroll in the service. After some prequalifying questions and verifying of documentation is over, so is the battle. You can upload the necessary documentation straight onto the website, just one more way using SafeLink will save you time! If you choose to use SafeLink, they will provide you with a cell phone free of charge. This excellent program also gives the participant minutes of airtime to use each month however they see fit. Long distance and international calls is under one flat rate, just as if you were calling your neighbor to see if they had sugar you could call your grandmother in Puerto Rico and tell her happy birthday. This is an excellent program for those who qualify. If you even happen to have a slow month and don’t use all of the allotted minutes, they will roll over into the next month! That’s even more free service. The only drawback about using SafeLink is that you must use the phone that they provide. That means you can’t use the cell phone you already have. TracPhone will provide you with an excellent piece of hardware that you will just love talking into.

Once again, this program is absolutely free for you to apply to and free to use as well. There are also incredible features that you gain the benefit from, once again, for free. Call waiting, caller ID, and text messaging are completely free. Each of these features you would have to pay extra for if you were using a regular cell phone plan. If you happen to go over the minutes allotted to you, and you run out, feel free to purchase airtime minutes wherever TracPhone airtime minute cards are sold. This excellent program is designed to get hard working Americans, just like you, back on their feet. Once again, government assistance is nothing to be ashamed of. Stuff happens. All the time, but lucky for you, you’re in the know. You know all of the excellent benefits of signing up for a free cell phone and receiving discounted cell phone service. You also have the peace of mind that you’re saving money for really important things, such as new clothes for your child to go to school in at the beginning of the year. You are being responsible and you are utilizing the resources that are available to you!

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Facts About Free Government Cell Phones


In today’s cellular phone industry, the average costs for even the simplest plan and phone seem insurmountable to many Americans. The phones themselves are often considerably costly, and once a phone is selected, finding a phone plan that fits into one’s monthly budget becomes an incredibly daunting task. Access to emergency contacts like law enforcement or medical assistance, and personal contacts such as employers or loved ones shouldn’t be denied to anyone based on income level, but for those who cannot afford a monthly cell phone plan, such access becomes a challenge or struggle, rather than a basic right.

Happily, if you’re finding yourself financially unable to keep up with the bills and charges that come with owning a cell phone, you may qualify for a free phone and plan supplied by the government. The government understands the importance of being able to connect with those around us, be it for professional, or even personal reasons. Cell phones allow us to communicate with our communities, families, and friends.

Throughout difficult economic times it is imperative that people are able to maintain contact with potential employers to secure a job; consistent communication is nearly impossible to achieve today without owning a cellular phone. Access to telephone communication can greatly improve the quality of life for those who cannot afford it, and for this reason, and many others, government-implemented assistance programs have been formed in order to provide landlines, cell phones, and cell phone plans for people who meet the financial criteria.

Since the 1990s, the Federal Communications Commission (FCC) has been working to provide landlines and even more recently, cell phone service to those who are income-eligible. Currently, the most prominent program the government is employing is one called Lifeline Assistance, which provides affordable, or even free telephone service to those who qualify. Backed by the Federal Communications Commission, Lifeline’s mission is to provide accessible telephone service to those who are eligible based on income, and does so in every state, commonwealth, and even on Tribal lands.

While researching government-provided cell phones and programs such as Lifeline, there are a few things you should keep in mind, the first being that these phone services are not given to just anyone. There is an enrollment process involved with obtaining these benefits, and only one phone and phone plan can be granted to each household. Applicants must be income-eligible, which, according to the FCC means that you “must either have an income that is at or below 135% of the Federal Poverty Guidelines or participate in a Government-assistance program, such as Medicaid, or Federal Public Housing Assistance.”

For a list of Government-assistance programs that allow you to be eligible for a phone and plan paid for by government, please visit: http://www.fcc.gov/guides/lifeline-and-link-affordable-telephone-service-income-eligible-consumers for more information.

In order to apply for a cell phone paid for by the government, you’ll need to contact your local phone company, or a designated state agency, and will eventually need to provide official documents to prove your annual income. Paycheck stubs, tax return documents, or any other legal file that expresses your yearly or monthly income will act as proof of your financial status. You will need to re-enroll on a yearly basis, and contact your provider if you are no longer eligible for the assistance program.

While the phones and plans provided are up to date with modern cellular phone technologies, the likelihood of acquiring the newest, best phone out there from the government are slim. Telephones and cellular phones in their simplest forms are great tools for communication. The government understands that it is their duty to ensure the right to communicate in this way by providing phone services to those who cannot afford such services because of their income, unemployment, disability, or any other reasons, but cannot promise to provide the most expensive models on the market. According to a website devoted to providing more information about Lifeline and government-provided phone opportunities,

“A free government phone isn’t a cheap wireless phone or a discounted model. These are recent model, fully featured cell phones, backed by prominent mobile phone companies. You won’t get an iPhone, Android or Blackberry, but you’ll get a basic, modern phone. In addition to the phone, which comes with voice mail, call waiting and caller ID, you will typically get up to 250 minutes of airtime per month. It’s not a lot of airtime, but anyone complaining should remember that service is made available to you for free, and is indirectly paid for by other Americans. In addition, most companies offer the ability to send and receive text messages.”

These services are provided for a very minimal cost, or even for free in many states. Various well-known companies such as Virgin Mobile, Tracfone, and Nextel are backing government-issued cell phone initiatives, which allows those receiving the phone services the peace of mind in knowing they are able to enjoy access to good products.

Right now, millions of Americans are benefiting from government subsidized cell phones, landlines, and phone plans. Millions more people are eligible for these benefits, and once you understand the process, it is quite easy to take steps towards acquiring your own phone, paid for by the government.

For more information about how to obtain a free cell phone and cell phone plan provided by the government, or to see if you qualify, please visit the Universal Service Administrative Company’s website, or call USAC’s toll-free number (1-888-641-8722). You may also call the Federal Communications Commission’s (FCC) toll-free customer service number (1-888-CALL-FCC). To locate a Lifeline provider near you, and begin your enrollment process now, go online to www.lifelinesupport.org.

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New Program Offers Free Phones to People on Medicaid


For a decades, Medicaid patients faced a major problem. Without affordable cell phone access, many patients would miss out on calls and texts from their doctors and medical providers. Calls from doctors could be about urgent health issues or reminders for checkups. Automated text messaging systems are often used to remind patients to take medications, to give time-based advice to pregnant women and to remind patients of upcoming appointments.

Without the ability to communicate with patients, health conditions often get worse. Doctors have been frustrated for years. On July 15, 2013, TracFone announced a partnership that can solve this problem once and for all.

A Three Company Partnership

The partnership involves three major companies in the cell phone and medicine industries.

TracFone is the primary organizer of the initiative. TracFone is one of the largest providers of prepaid wireless and free government phones, with over 80,000 retail locations in the country. They operate the TracFone, NET10, Straight Talk, Simple Mobile and SafeLink Wireless brands.

The second party is Voxiva. Voxiva is the leading provider of mobile health coaching programs. Their flagship programs are the “text4baby” program which coaches expecting mothers, as well as “text2quit,” a program that helps participants quit smoking. They’ve delivered over 90 million text messages to date.

Finally, the partnership also includes Amerigroup. Amerigroup is one of the largest state-sponsored insurance providers in the United States. They have approximately 2.7 million members across 12 states.

What This Plan Entails

If approved, TracFone will begin providing free phone service (through its SafeLink Wireless brand) to Medicaid beneficiaries. Coverage will start in the 12 states in which Amerigroup operates. If successful, the company may look to expand the program to provide Medicaid phone service throughout the United States.

In the past, Medicaid was used by Lifeline as one way to qualify for free government phones. However, phones have never been distributed directly through Medicaid or through an insurance provider. Doctors couldn’t reliably recommend that patients get a free phone, as some patients still wouldn’t qualify despite being on Medicaid.

With this new program, doctors will be able to not only advise patients to get a phone, but to also help patients setup reminders and text message alerts using their phones.

If the FCC approves this program, it can be a big step for both patients and the medical community. A big communication problem will be solved once and for all. If you live in a qualifying state, stay tuned on this site to learn more as the program develops.

Who Qualifies For Lifeline Assistance Program


As part of his recent campaign for re-election, President Barrack Obama’s team was indirectly promoting a government program that provides cell phones to those that would not normally be able to afford one. A lot of controversy has surrounded this idea, as it seemed too good to be true. As well, the source of the public’s awareness of the program was a simple viral video on YouTube, where a female voter claimed she received this free “Obama phone.” In actuality, there is a cell-phone assistance program and it existed before Obama took office. It is also quite easy to determine eligibility.

The program is known as the Lifeline Assistance Program. It is a federally-funded initiative to give those receiving government assistance the option to receive subsidized pre-paid wireless service plans. Cell phones are provided by federally-approved companies that vary state to state. Most individuals who qualify for the program are provided the details, while others can visit the websites of different service providers to sign up. This initiative is paid for by the Universal Service Fund and administered by the Federal Communications Commission. Customers currently paying for service may find a fee on their telephone bill called the Universal Service Fund that supports the Lifeline program.

Many providers participate in the program. As part of researching what goes into obtaining an “Obama phone,” I delved into my own service provider’s website. I found that T-Mobile does offer a program called InReach and it does cover the greater Seattle area. This program offers discounted service and those who qualify can also receive a free phone. The discount amount is determined by state of residence and income level. There was a simple step by step questionnaire given to determine eligibility, as it varies by state. If you are currently receiving any kind of public assistance (including Section 8, Temporary Assistance for Needy Families, SSI and Medicaid), you automatically qualify for the program. As a single person household, my gross yearly income must be at or below $15,080 in order to be able to utilize their program. In other words, qualifying income is gross yearly income that is at or below 135 percent of the federal poverty guidelines.

There are many wireless websites that assist in receiving a free phone and free service as part of this government program. The leading providers of the Lifeline Assistance Program are: SafeLink Wireless, Assurance Wireless, Q Link Wireless, Care Wireless, and Reach Out Wireless. Mostof their websites say that due to changes made to the program as on June 1, 2012, you must provide proof of receipt of public assistance in order to complete enrollment. Not all of these providers have service options in the state of Washington. Obamaphone.net claims that some of the above providers not only offer a free phone, but a plan that includes 250 minutes monthly at no cost to the consumer. All of them follow the same guidelines for determining eligibility. I was able to determine that SafeLink does provide this plan in the state of Washington. All you have you to find out if you qualify is visit their website and fill out a series of questions.

The first question to determine eligibility for SafeLink Wireless is your zip code. I found they do provide service in the greater Seattle area. The next bit of information they require is your last name, date of birth and the last four digits of your social security number. After that, you must input your address. The next step is whether you qualify because of receipt of a government assistance program or because your household gross monthly income is at or below 135 percent of the federal poverty guidelines.

When I input that my income was below $15,080 as a single person household, I was told I qualified for 250 minutes of free monthly service. From there, I had to agree to their terms and conditions. This is included signing a contract that states all information I have provided is truthful to the best of my knowledge. Of course, I could not continue with the process. I was unable to determine if part of this plan includes a free cell phone. The website home page does state that they give free phones, so I assume in qualifying for this plan that a free phone is one of the included stipulations.

The reality of the free “Obama phone” is like most things in life. Nothing is ever completely free. These programs are individually mandated by each provider. Most providers offer discounted service or a monthly discount off your current service plan. A lot of pre-paid plans come with a free phone, though it is usually a much older model and has little function besides making and receiving calls or texts. So is there a way to receive a free phone? Yes. Is the service free? Some providers offer free limited service of 250 minutes monthly with no carry-over. And most national providers such as T-Mobile and AT&T are able to give a discount by charging those paying for regular services a monthly fee.

In sum, while there are service providers including SafeLink Wireless who offer the Lifeline Assistance Program, I have yet to determine how free a free “Obama phone” really is. As far as I can surmise, these programs existed long before Obama but his administration has allotted more funds to the initiative in recent years. Hopefully more providers are able to provide this service in Washington.

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The Lifeline Assistance Program


The Lifeline Assistance Program was created in 1985 for low-income families that needed help with their home phone service. The program offered a monthly discount on their landline bill. Since the 1990’s and especially within the last few years, other companies have instituted programs that offered charity assistance and/or discounts for their customers. For instance, with utilities such as water, electricity and even garbage.

The premise is essentially the same. Customers must meet certain criteria in order to be approved. They must show proof of income, a valid physical address, legal identification and a social security number. It is assumed that if a household already receives government funded assistance that they may already qualify for a free wireless phone. This benefit is strictly limited to one per household, and is monitored through addresses listed on applications. Eligibility requirements are checked every few months and almost all notifications are also done through the wireless phone. Recipients can monitor their usage on the phone anytime. They can view how many minutes or text messages they have remaining and for a small fee they may also add long distance coverage or additional minutes or texting options. Internet service can also be added to the phone, which can be convenient for those without access to a computer or Internet resource. In 2005 the program was extended to offer wireless phone coverage as well in addition to landline service. As cell phones became more popular, landline service became a less viable option. The Lifeline Program itself provides discounts on monthly telephone service. Another similar program called Link Up is used primarily for those residing in Tribal lands.

So who pays for all of this? The straightforward answer is to name the Universal Service Fund. The FCC created the fund in 1997 as a compliance measure that would be able to meet goals outlined by the Telecommunications Act of 1996. The overall goal for Link Up and Lifeline was to be able to provide the opportunity and security of telephone service to all Americans. All telecommunication providers contribute to the federal Universal Service Fund based on the percentage of their communication revenues. In essence a percentage of what they make from paying customers goes directly to the Universal Service Fund in order to provide service for those that cannot afford it. This is sort of like the fees or taxes we pay for 911 services on our cell phones regardless of our plan or minutes, or the flat tax for garbage disposal no matter how much garbage may be in your bin.

It is a percentage from ALL telecommunication providers that is set aside for a small percentage of the population that cannot afford it themselves. For most Americans this type of benefit can be surprising despite the federal funding and legislation. Unlike food stamps, housing assistance or student loans, cell phones are be considered by most as a luxury and not necessarily a necessity for daily living. Why should someone be given a cell phone if they can’t afford food or rent in the first place? How is a free phone going to help them?

As with any welfare program or government funded benefits the risk of abuse and legitimacy on the part of the applicant is something to consider. With free cell phone programs each household is limited to one phone for the household. A physical address is verified with the applicant and is monitored to ensure that only one phone is linked to a household. However there are no safeguards to ensure that an adult is using the phone at all times and there is no way of tracking who or what the phone is being used for. Text messaging also falls into a gray area in terms of necessity. Although text messaging has been accommodated into our daily plethora of instant communication, is it appropriate to offer this service to someone that cannot make enough to survive on their own?

With all the technology attached to cell phones anyone can check their email or bank statements via text message. Unfortunately there is no way of knowing to which the messages are being sent to or for what reasons. No matter the use of the phones, cell phones have become a critical component to daily living in America. It is a necessity that not everyone can afford and one of the easiest things to fall behind with. Free cell phone programs offer a safety net for those that are trying to get back on their feet and trying to maintain a lifestyle that they once had. The program was not meant to serve as a permanent phone service provider but as an aid for those that cannot afford services on their own through larger retail phone companies. As we grow more and more dependent and reliant on technology we have to consider the financial costs associated with trying to keep up. As phone and Internet access become more vital in keeping connected, having emergency access and gaining employment, the need for programs like Assurance Wireless or Linked are crucial.

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Is President Barack Obama Giving Away Free Phones?

The Obama Phone?

– An Opposing View-


Is President Barack Obama giving away free phones? If so, what’s next: free shoes?

I’m sure by now you have heard about this free “Obama phone”. Rumors about this mysterious free phone began circulating on the Internet as far back as fall 2009. In the run-up to the 2012 presidential election, Fox News and Republicans used the “Obama phone” rumor to highlight yet another way the federal government wastes taxpayer money by giving away free services to poor people. In reality, the federal government has been helping low-income families and individuals pay for or receive free services to meet basic living requirements. And, yes, phone service is one such service poor people have been getting help with since the 1980s.

The Lifeline Assistance Program, created decades before Obama came into office, helps low-income individuals with phone service. The program was created to make sure low-income individuals had access to communication services. Rich or poor, people should have access to a phone in the case of an emergency. The program was recently updated to reflect changing technology and habits of Americans to include cell phones. More and more people are giving up landline phones and opting for cell phones. So while there isn’t an “Obama phone”, people who qualify based on their income can get a free cell phone and 250 free minutes per month through the Lifeline program. People who qualify for this service more than likely are receiving some other form of government help, such as food stamps, welfare or housing assistance. Fox News and Republicans in Congress want to cut spending for the poor and used the “Obama phone” rumor to make their case. Under the Lifeline program, the government hopes to one day provide free Internet service to poor people, or what Fox News can call an “Obama” laptop. As for free shoes, it looks like poor people still will have to pay for their own.

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Companies Who Benefit From Free Government Phones:

obamaphoneThrough the infamous Youtube clip, starring a woman ranting about her free phone provided by the US government, free phones in our country have been under heated debate in recent years.

But who is really benefiting from free phones? Obviously, low-income Americans who are eligible for the program, but which companies are reaping the benefits of our country’s apparent growth of low income people?

About Lifeline Assistance Program

Lifeline is a government program which oversees its many cell phone providers who offer free phone services. The program was established in the 1980s to guarantee all US citizens, of any income, would have access to some sort of communications system.

In the ‘80s, Lifeline only offered landlines to its eligible applicants, but in the time span between 2003-2005, the program expanded to include cell phones. As technology advanced, many found the landline incompatible with their busy, active lives and needed the cell phone to compete in our recent merciless job market.

The phones are funded by the Universal Service Fund. This organization issues fees to telecom companies across the country. Most of these companies forward the USF fee on to their customers in the form of a Universal Service Charge issued on the customers monthly phone bill. Usually, the fee is only for a few dollars, adding up to a rounded 30-40 dollars per year. But American citizens grow weary with the program’s recent admission of rampant fraud. The FCC stated the Lifeline program has gone under extensive measures to eliminate duplicate accounts, fraudulent identities and lack of use after 60 days.

As reported from CNN Money.com, “Last year, Lifeline accounted for 20% of the $8.1 billion Universal Service Fund distributed to support connections for rural areas, schools, hospitals and low-income individuals.”

With the recent financial issues in our country, many more people qualify for Lifeline’s services. Requirements to gain access to the program vary by state, but generally include, “assistance from another government program, such as Medicaid or food stamps and an income lower than 135 percent or 150 percent of the nation’s poverty line, depending on state.”

What is Needed for a Free Phone

The applicant must also have verification documents proving each of these requirements. Approved documents also depend on the resident’s current state. The phones provided for the free service are usually ‘brick’ type phones, with no data plans. The service offers 250 free voice minutes per month, 250 free text message per month and the actual phone itself.

When the mental image of a ‘brick’ style phone enters the general public’s mind, most picture the Tracfone. Whether they know the name or not, most have seen this company’s product; the prepaid, nothing special, ‘get you from A to B’, phone.

Free Government Phone Leaders

Tracfone Wireless has pulled an amazing 4 million customers into it’s free phone, Lifeline supported program called, Safelink Wireless. Safelink Wireless has profited $452 million last year alone from the Lifeline program subsidy. Out of their annual sales of $3.8 billion, Safelink Wireless is the program to thank for a substantial chunk.

This annual sales record for Tracfone is the highest out of any of its competitors including AT&T and Sprint each pulling in $274 million that year. Tracfone has also broken their own record after Safelink Wireless’ introduction. This recent $452 million is more than Tracfone has made in two years. Though, the Lifeline customers may not be the breadwinners for the company, they certainly do help in more ways than one. The obvious extra money for the company is a plus, but this new service option also broadens Tracfone’s customer base.

As reported by CNN Money.com, Jose Fuentes, Tracfone’s director of government relations, states the program is extremely beneficial to low income people, in that they can keep the phone even after the choose to discontinue the free service. This also benefits Tracfone by keeping these Tracfone holders as customers through the companies prepaid options.

Is the Lifeline Program Helpful and Needed?

In the end, the Lifeline program is helping those who need it, regardless of who is profiting. The phones keep American citizens in touch with their families, contactable for job opportunities and the cell phones provide a source of communication in case of emergency to contact respective authorities.

As reported by CNN Money.com, “I use it to keep in touch with my family and my friends, and work-related services like business appointments,” says Kathy Jarrett, a Brooklyn, N.Y. resident who has been a Lifeline subscriber for four years. “If I didn’t have a phone I would be a wreck.”

The Lifeline program and its service providers may be taking business away from other prepaid based providers, but what is important are the people. Roger Entner, the founder of Recon Analytics, a wireless industry research and consulting firm, has stated he believes everyone in the country should have access to a phone. Without one, finding a job is seemingly impossible and families are at risk with a lack of communication in the event of an emergency.

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How To Apply For LifeLine Assistance Program?


Receiving a free cell phone and wireless plan courtesy of the Lifeline Assistance program is as easy as 1, 2, 3! Due to the growing necessity of wireless phones, American mobile service providers are doing what they can to make cell phones available to everyone, despite an individual’s financial situation. It is increasingly important in daily life for people to have access to a consistent line of communication. The first step in acquiring a free cell phone is to find out whether one’s state is offering such a program and which providers are available in their area. Of the 50 states, 38 are participating in the program; only Colorado, North and South Dakota, Hawaii, Idaho, Minnesota, Montana, Nebraska, New Mexico, Oregon, Vermont, and Wyoming are not yet on board with the “Wireless Available to All” phenomenon. However, all is not lost if one resides in one of the 12 aforementioned states. Inexpensive prepaid phones are also available as an alternative.

Secondly, one must look into each free cell phone/service provider and also check their own eligibility with each. The three largest companies are Assurance Wireless, Reachout Wireless and Safelink Wireless, but there may be smaller, local wireless carriers that have similar opportunities depending on the region. Research is the name of the game! This way, one can get more bang for their buck (if they meet the necessary qualifications).

  • Assurance Wireless (of Virgin Mobile/Sprint), in addition to a free phone, offers 250 free minutes AND 250 free text messages per month. There are no contracts or activation fees, and Caller ID, Call Waiting and Voicemail are included. Because Assurance Wireless is offered by Virgin Mobile/Sprint, the consumer’s service coverage will be on the Sprint mobile network.

  • The amount of minutes received on a Lifeline plan from Reachout Wireless (a subsidiary of Nexus Communications) varies by state. Reachout Wireless will waive $42.00 of the one-time $72.00 Service Activation Fee, which leaves the consumer to pay $30.00. This remaining $30.00 may be covered by the state, accordingly. A service coverage map is available on the Reachout Wireless website for consumer reference.

  • Safelink (by Tracfone) offers 250 free minutes per month for both local and long distance calling. Safelink does not require a fee to activate service, does not perform credit checks, and will not issue bills or contracts to the consumer.

All of these service providers allow the option to add more minutes, text and/or data to one’s plan if necessary, but at the consumer’s expense.

Each state has been given the freedom to determine what their eligibility requirements are, but they are essentially the same: provide proof that the household is at or below poverty level, or validate that the household is also being sustained by other government assistance such as: Medicaid, Supplemental Nutrition Assistance Program, Supplemental Security Income, Federal Public House Assistance, Low-Income Home Energy Assistance Program, Temporary Assistance to Needy Families, National School Lunch Program’s Free Lunch Program, Bureau of Indian Affairs General Assistance, Tribally-Administered Temporary Assistance for Needy Families, Food Distribution Program on Indian Reservations, Head Start or State-specific assistance programs. Lifeline Assistance provides a service on their website to help a household determine whether or not they qualify for the program on their website. This tool is to be used only to determine eligibility.

The last step in this process is to apply! After deciding upon the wireless carrier that seems to be the best fit for the individual (and after extensively researching all available provider options), there is a form to complete on each mobile provider’s website. On this application, the individual will be required to provide personal information and proof of low-income circumstance, so it would be in one’s best interest to be prepared with that information before beginning to fill out the form. If everything is verified and proven legitimate, the company will issue the household their mobile phone preloaded with their allotted monthly minutes. One recommendation when filling out the application is that if an individual qualifies under both income-based AND program-based, they should definitely apply under program-based (the program-based is a guaranteed testament to one’s situation).

The only restriction to this Lifeline Assistance program is the limit of one “discount” per household. Consumers in violation of this federal rule may be subject to criminal and/or civil penalties. In order to maintain one’s eligibility for free or discounted Lifeline services, they must once a year re-certify:

  • That they remain eligible for Lifeline service, and;

  • That no one else in their household receives Lifeline service.

If a household is already participating in the Lifeline program, they will receive a re-certification notification requiring them to simply confirm their eligibility. There are a few options by which one can choose to be reached: receive a letter in the mail, a telephone call, or even a text message asking for a response for re-certification. If one fails to respond by the deadline indicated, their Lifeline discount will be eliminated, meaning that their monthly phone bill will either increase or the number of free minutes typically received each month will not be provided. In order to avoid any unwanted changes in service, consumers are strongly encouraged to respond promptly to re-certification notifications. In addition, one must inform their telecom company if they no longer qualify for Lifeline service. If one becomes ineligible for Lifeline, it is their responsibility to contact their telephone company directly to de-enroll from Lifeline service. If one is de-enrolled from the Lifeline Program, they are eligible to re-enroll, but they must go through the process from the beginning as a new subscriber.

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