Pat Foran
CTV's consumer affairs reporter Pat Foran reviews the Magic Jack, a device purported to turn your laptop into a computer capable of making 'free' long distance phone calls.

Chances are you have seen the Magic Jack featured in infomercials on TV. It's a small device that plugs into your computer and the company promises you'll get unlimited local and long distance calling anywhere in North America for just $20 a year -- and it works!

Consumer Reports, the respected publication that tests products ,was not impressed with infomercial products such as the Slap Chop, Sham Wow or the Ab Circle Pro – but they said the Magic Jack works well and gives good value.

We visited Durham Radio in Whitby where owner keith Carcasole says he has sold 80 Magic Jacks in the past two months.

Carcasole says: "The Magic Jack basically turns your computer into a telephone. You can call anywhere in Canada, the U.S. and its unlimited calling. I think the problem was that people would see it on an infomercial and think it was too good to be true."

The device sells for $40, which includes your first year of long distance.

Pat Foran sits down with Investor Education Fund to chat about how your small expenses can add up. A few smarter money choices can trim your spending without causing too much financial pain.

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