Numerous studies have explored consumer adoption of mobile payments from a variety of perspectives – security, convenience, and perceived ease of use and usefulness. A few studies have concluded that cost contributes to consumer adoption of m-payments, but not explored this factor in any detail. This study (a) offers exploratory research on specific reasons why consumers do or don't use mobile payments and (b) examines the propensity of consumers to pay mobile service fees under a variety of realistic scenarios. The study finds that the top reason why consumers don't use mobile payments is dislike for paying service fees. Research results also show that consumers are quite price sensitive to making mobile payments when a service fee is charged, except when urgent or when no alternative payment method exists.