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Tom Church from Latest Deals discusses mobile phone contracts, which can be intimidating but are important to understand before signing. A mobile phone contract involves paying a fixed monthly fee for a period of one to three years, with options for rolling monthly contracts. In return, you receive a monthly allowance of calls, texts, and data, along with a handset if you choose a phone contract. If you exceed your allowance, extra charges are added to your bill. Different types of mobile phone contracts include those with free handsets.