Wal-Mart's $10 smartphone: What's the catch?

Wal-Mart's $10 smartphone: What's the catch?

Don't have $500 for your next smartphone? How about just $10?

It may sound too good to be true, but Wal-Mart has just started selling a smartphone for just $10, with no two-year contract required.

Wal-Mart shopper Rickie Howzie said, "That would be amazing, because that doesn't happen! They're really expensive."

Another customer said, "Something that cheap, I wonder if it would even be good or if it would have some scam with it."

But it's not a scam: It's real.

What You Get

For $10 you get a n entry level LG Android phone , subsidized by the prepaid carrier TracFone.

Sure, it's not the latest iPhone, or a Samsung Galaxy. But for $10, you're not going to find another smartphone at a price like this.

So what's the catch? There are several, but you may be able to live with them:   

  • The phone has a 4-inch screen, which looks like a first generation iPhone and is positively tiny these days.
  • There's no front camera for taking selfies.
  • It uses a two-generations old 2013 Android operating system.
  • You have to use it on the TracFone pre-paid network, at least for a year.

And the Verdict is...

Fortune Magazine says all things considered, it's a great value.

Even if you don't want it for yourself, you can:

  • Give it to a 10- or 12-year-old child as a stocking stuffer.
  • Or you can use it as $10 WiFi tablet
  • Or you can turn it into a remote control for a Roku streamer or a Google Chromecast stick.

After hearing the details, Rickie Howzie decided she was suddenly interested.

"I might look into it, yeah absolutely," Howzie said.

You can find the offer on Wal-Mart's website , though it may not yet be  available in Wal-Mart's local stores.

It could be a popular holiday gift this year, so you don't waste your money.


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