Calling Cards or VoIP?

Which is more suitable- calling cards or VoIP services?

Calling cards are a way of buying telephone minutes on a prepaid basis. If you shop around, you can find calling cards with very cheap per minute rates for calling Chicago or anywhere else in the world.

As you shop, you will undoubtedly find much cheaper per minute rates than the rates being offered by your existing landline or mobile phone service.

In comparison to VoIP services which can vary in multiple ways, all calling cards work basically the same: you dial into their network using an access number, then dial in the destination number to complete the call.

Calling Card Characteristics

Things typically associated with calling card or phone card services include:

  • Uses a conventional keypad dialing process from a landline or mobile phone
  • Used exclusively with normal landline or mobile phones (not computers)
  • Usage does not require an internet connection
  • Calls originate and terminate on traditional PTSN phones (i.e., on the normal voice telephone network)
  • Works for outbound calling only - you can't receive inbound calls unless you give someone your card
  • Supports only very basic features such as PIN-less dialing, speed dial, and, possibly, call logs
  • Bought on a prepaid pay-as-you-go basis - normally in preset amounts / denominations
  • Calling cards are permitted in all countries worldwide
  • Calling cards work the same way in all countries worldwide

Calling Card Pricing

While some cards have very 'clean' pricing, another thing commonly associated with calling cards is complicated pricing. Multiple pricing elements, hidden fees, overstated minutes, and a general lack of price transparency is all too common.

In addition to regular per minute charges, many calling cards charge connection fees, maintenance fees, carrier service surcharges, and/or toll-free access charges, among other possible fees. These extra fees can add up quickly.

Calling card pricing can be so complicated that it borders on being, and too often is, fraudulent.
Vendors are often brought forward for fraud, false advertising and other related charges.

As a result, we recommend that you buy from a reputable vendor. A 'clean' calling card is a calling card with few, if any, extra fees beyond the advertised per minute rates. We also recommend buying your calling cards online because store-bought cards tend to be more prone to fraud.

Calling Card Call Quality

Another common problem with calling cards is low 'call quality' - meaning various connection delays, voice latency, gaps, heavy background noise, and static, among other problems. This is because calls are not being delivered on high quality voice telephone networks.

Still, for many people, any quality issues are well offset by the lower costs - especially if you shop around and get yourself one of the more reliable vendors.

Calling Card vs VoIP Technology

While calling cards work over normal telephones, it turns out that many calling cards use VoIP or similar technologies to deliver calls, even if they don't say so explicitly. This is especially true for cards not from name brand telephone carriers like AT&T, BT, or Reliance, etc.

That's partly how they can offer lower prices - VoIP networks are inherently much cheaper than traditional PSTN telephone networks.

VoIP is a way of using the internet to make telephone calls. By using the internet instead of more expensive traditional phone networks, VoIP companies can offer very cheap international calls.

VoIP is an acronym that stands for ‘Voice over Internet Protocol'. It is a technology used to transmit information over the internet. VoIP is also known as ‘internet telephony’.

VoIP Services are More Varied Than Calling Cards

VoIP phone services are much more varied than calling cards for two reasons:

  • VoIP technology is very powerful, and it enables many things beyond straight voice calling
  • VoIP operators are very entrepreneurial, and they combine services, pricing, and other elements in creative ways

So, whereas all calling card companies offer pretty much the same type of service, VoIP providers can be quite dramatically different from one another.

VoIP Phone Service Characteristics

Because there is such a rich variety of options with VoIP, we can't provide a nice, clean summary as we did above for calling cards. But within the wide spectrum of VoIP choices, here are some of the things you'll generally see:

  • VoIP services support a variety of 'dialing' options, including phone-to-phone, PC-to-PC, smartphone-to-phone, and PC-to-phone
  • Many VoIP services offer a 'softphone' or 'VoIP client' version which is used on a computer or smartphone
  • Most VoIP services provide a way to make “out of network calls” to regular landline and mobile phones - some allow inbound calls as well
  • In-network calls to other people using the same VoIP service are quite often completely free
  • Most VoIP services support both inbound and outbound calling
  • Some VoIP providers offer a wide variety of value-added voice calling features not available with calling cards, including, virtual phone numbers, voice mail, caller ID, and call forwarding, among others
  • Some VoIP providers also offer capabilities well beyond basic voice calling, such as video calling, text chat, file sharing, screen sharing, blog plug-ins, toolbars, and more
  • VoIP billing plans vary widely and include calling card-like prepaid plans, recurring monthly subscriptions, a la carte pay-as-you-go billing, and other options

All in all, you'll find that buying a VoIP service involves understanding and comparing a variety of options to determine which is best for your needs. The options range from full-service VoIP products intended to completely replace your standard phone, to pay-as-you-go calling card-like services.