The average life of a cell phone contract is two years; cellular carriers frequently offer their customers incentives to renew their contracts by way of offering them great deals on an upgrade to a newer cell phone. Oftentimes the older phones customers are upgrading from are in perfect usable condition. These phones are refurbished by the carriers to like-new condition and in turn offered deeply discounted to customers in the market for a replacement phone.

For example, if a Blackberry is purchased brand new by a user and returned, even within two weeks, it can no longer be legally sold as a new phone, but must be sold as a refurbished Blackberry cell phone.

There are several reasons that buying a refurbished cell phone makes sense to a consumer in the market for a cell phone.

1. A refurbished cell phone can often be purchased directly from the carrier without the need to sign a contract.

2. Each phone that is recycled back into circulation is one less phone that sits in a landfill; a refurbished phone is a great way to “Go Green” while still getting a great phone with all of the features you're looking for.

3. Affordability is the best reason to steer towards a refurbished cell phone; purchasing one that is refurbished gives you the chance to get still-current technology while saving a significant amount of money.  For example, you can purchase a refurbished Treo that may have only been used for a couple of weeks for significantly less than it would cost to buy the same phone brand new.

As with anything, there is the potential downside to buying a refurbished cell phone. If buying directly from your wireless carrier, the biggest issue is that this phone is going to be locked to that particular network. This will make it slightly more problematic for you should you decide to leave your carrier for another but wish to still use your same cell phone.

While a refurbished cell phone should be fully tested to ensure full functionality on all of its features before you purchase it, you need to bear in mind that the phone you are buying is still a used product, with possible age-related issues.

Whether for use on a prepaid account or simply as a more affordable way to upgrade an existing phone without the need to renew a contract, a refurbished cell phone is a great option for anyone in the market for a cell phone; just be an aware and informed consumer in order to protect your investment.