Top tips on mobile phone recycling...

Do you have hidden treasure in the form of an old mobile? This is a step-by-step guide to mobile phone recycling, including the mobile selling comparison tool, to help you get the most for your unneeded mobile. You could get 100s if you're selling a recent handset.

How 'old-mobile-buying' companies work

These are specialist, super-speedy, mainly web-based companies which will take an old phone and give you cash in exchange. You go to the website, enter in your mobile model and you'll be given a quote.

What type of phones can be recyled?

Sadly, digging a mobile out of the wardrobe isn't a guarantee of decent cash.

Your phone needs to be in reasonable condition – no more than mild cosmetic damage – with the original battery, and be able to be switched on.

If your phone's only slightly under the weather, check how much you'd get for a fully working model. Often all it takes is replacing the battery, so it may be worth doing that yourself to get a higher sales value, but always check the battery price first.

You don't usually need to provide the charger but most will recycle it properly for you (though you could keep it as a spare or flog it on eBay).

How do I exchange my phone?

You'll get offered a price and, if you accept it, you'll be sent a jiffy bag or prepaid postage label for the phone, which you can return freepost. Most companies, like CEX and Evirophone, offer free postage that insures your device up to 50.

Not all companies do this though, and if it doesn't, it won't accept responsibility for non-delivery so, depending on the value of the phone, it might be worth sending it by recorded 'Signed-For' post, which insures it for up to 50 and costs a couple of quid, depending on the weight of your phone.

Send the phone charged, switched off, without the Sim or memory card and remove any security or Pin codes that'll hamper its testing. To do this, just opt for reset factory settings on your phones menu. Plus don't forget to wipe any private data.

If it isn't up to scratch (approximately 20% of phones are rejected) you'll be contacted and offered a reduced price, which you can accept or have the phone returned for free.

How safe are these companies?

If you've sent your phone to the company and something goes wrong, or the company goes bust before it's paid you, you've little protection.

If the company goes into administration (when an insolvency firm is called in to run the company), the administrators will keep it trading, if possible. If the company isn't able to keep trading, you'll need to apply to the administrators for a refund, which can be harder. For more info, see our Administration Help guide.

Find the top payer for your phone

Prices vary widely for individual handsets, so our MobileValuer compares all the main sites (excluding those with terrible feedback) for both working and non-working phones.

Damaged phones

Most providers will look at non-working phones, offering a reduced price for these (expect to get around 10-50% of the working price) or at the very least will recycle them for you.

Typical examples of mild damage include badly dented casing or a phone that won't turn on. Phones that are water damaged, physically broken or have unresponsive or cracked screens will probably get zero cash. Click the 'damaged' box when searching for the best quote.

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Other options to cash in your phone

Phone-buying websites aren't the only option and, whilst they're relatively quick and easy, there are other ways to make more cash.

• Online auction sites

  The most profitable way to ditch your old mobile is DIY. There's a thriving old phones market on eBay*, earning you on average 2030% more than the best phone-buying sites. Balance the extra cash with the extra hassle and remember there's no guarantee of a sale.

  The best thing to do is go to eBay and search for a phone identical to yours and preferably in similar condition. The price should give you a rough indication of whether its worth considering.

• Sell it to a friend

  If you don't want to give it to a friend, selling it can be mutually beneficial, both earning you more and costing them less than doing it commercially. The difficulty is deciding on a price without ruining the friendship.

  Our easy formula is, take the best price from the phone-buying companies and add 10%. If there's a dispute, simply show them this guide, proving it's an unbiased party's assessment.

• Re-use it

  Just because the phone no longer has the package you want doesn't mean you need a new phone. Most phones can be legally and freely unlocked to work on any network (see the Unlock Your Mobile guide).

  This also means it can be used as an alternative handset such as a texting-only-mobile with a cheap Sim, as a phone for your children or specially to use abroad (see Cheap Mobile Phones and Cheapest Roaming Mobile guides).

• What about the charity option?

  Many people see well collect your old mobile for charity deals and think woohoo, yet MSE is not a fan. This isnt due to a philosophical objection to giving to charity, but more because it isnt an efficient way to do it for mid to high value phones (it's not bad for lower value ones).

  These schemes work by giving the charity a cut of the cash you wouldve received, yet if you sell it, you get more than the charity does. So to maximise your donation, sell it yourself, then donate the cash to the charity - it'll get more cash and because of the Gift Aid scheme (see the Boost Charity Donations guide) it can reclaim your tax too, which means an extra 25% on top of your donation.

• Trade in low value phones

  If youre trying to get a new phone, and the recycling companies arent willing to give you much for your old one, you could try and trade it in with the company youre buying a new one from (this mainly applies to high street retailers).

  Carphone Warehouse, for example, offers competitive prices on old phones. Check its trade in calculator to see how much you'll get. Dont choose a phone from it on this basis but if you do fall into this category, its worth a look. For info on how to get the best mobile tariff read Mobile Phone Cost Cutting.

So where do they go?

Getting rid of your old phone isnt just about de-cluttering. There are potentially noxious substances in decaying phones. It's reckoned cadmium batteries can infect the water system and lead, brominated flame retardants and beryllium could harm the environment if incorrectly disposed of. So, even if you can't sell it, don't throw your old phone out with the rubbish.

What happens to the phones?

Once theyre tested, if the phones are decent, theyre shipped abroad and flogged. For example, Envirofone sells phones in the Middle and Far East, Africa and South America.

If its a particularly high value phone, there's a chance these companies will sell it on eBay* to get the most money. Therefore if you find your phone is high value, as noted above, you may want to consider doing that yourself and cutting out the middleman (see the eBay Selling guide).

If your phone is of a lower class then it'll be broken down and sold as component parts. And if its totally worthless, these companies will dispose of it in an environmentally friendly way.

Source: www.moneysavingexpert.com